Stocks Rise After Trump, Clinton Debate

Stocks rose, the Mexican peso soared and haven assets retreated on Tuesday as investors reacted to a debate between presidential candidates Hillary Clinton and Donald Trump.

Investors appeared to be betting that the debate shifted support toward Mrs. Clinton. Many market participants believe a Clinton victory would offer more support to risk-assets such as stocks in the short term, amid greater clarity on her policy stance.

"I don't know that we learned much about the candidates but the market definitely liked it," said JJ Kinahan, chief market strategist at TD Ameritrade.

Shares in Japan, Hong Kong and Shanghai rose during the debate while futures pointed to a 0.6% opening gain for the S&P 500. The Stoxx Europe 600 rose 0.6% in the early minutes of trading, as the banking sector recovered from a brutal start to the week. Shares of Deutsche Bank AG, which pulled back significantly on Monday, were up 1.5%.

In currencies, the WSJ Dollar Index inched down 0.1%, while the dollar fell 1.9% against the Mexican peso, which has been highly sensitive to the U.S. election following comments from Mr. Trump regarding plans to build a wall between the two countries.

As investors moved out of assets perceived as safe, the yield on the 10-year U.S. Treasury note rose to 1.606% from 1.589% on Monday, while gold fell 0.5% to $1.337 an ounce.

Write to Riva Gold at riva.gold@wsj.com

(END) Dow Jones Newswires

September 27, 2016 04:05 ET (08:05 GMT)

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