Shares of banks and other financial institutions surged as traders bet that lax regulations under a Trump administration would buoy the sector.

Shares of Wall Street bank Goldman Sachs Group surged by 13% to all-time highs.

Treasury yields spiked, with the yield on the 30-year bond rising by the most in four years, suggesting skepticism on bond markets about the viability of Donald Trump's plans to simultaneously cut taxes and raise spending.

One strategist said the Treasury market may be preempting a wave of inflation that could follow tariffs and tax cuts.

"Given Trump's history from his first term, we can probably expect the Fed to be slightly more hawkish, and therefore lower rates at either a slower pace or more likely end at 100 basis points as opposed to 150," said Oliver Pursche, senior vice president of financial advisory Wealthspire.

Shares of cryptocurrency firms rallied as bitcoin rose to all-time highs due to Trump's vows to support use of the digital currency. Coinbase Global rose 31%.

Write to Rob Curran at rob.curran@dowjones.com

(END) Dow Jones Newswires

11-06-24 1749ET