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U.S. President Biden announced his withdrawal from the race and endorsed Vice President Harris as the presidential candidate, prompting investors to recalibrate their investment decisions.

On Monday, July 22, Eastern Time, stocks that benefited from "Democratic victory", such as renewable energy, solar companies, electric car manufacturers, and marijuana stocks, began to rise, while "Trump trades" such as oil and gas, financial and healthcare stocks began to cool down.

In this regard, Jaret Seiberg of Cowen said:

“Biden’s decision to withdraw from the presidential race is equivalent to resetting the entire election situation, making Trump’s victory less certain, increasing risks in financial markets and cryptocurrency markets, but may be beneficial to the real estate market.”

As the Democratic Party is more supportive of renewable energy and green energy, and the Biden administration strongly promotes transportation electrification, while Trump claims that he will completely reverse Biden's electric vehicle policy. Overnight on Monday, photovoltaic stocks and electric vehicle concept stocks generally rose in early trading.

1) Among photovoltaic stocks:

Daquan New Energy ADR led the way with a 13.6% increase. First Solar rose more than 4.1% during the session. Canadian Solar ADR rose more than 4%. Maxeon Solar Technologies rose more than 8%. Sunrun once rose more than 5.1% during the session. SunPower rose more than 11.6%. Enphase Energy rose more than 3.4% at the beginning of the session. Plug Power rose more than 2% at the beginning of the session. Invesco Solar ETF once rose more than 1.1% during the session.

2) Electric vehicle concept stocks:

Tesla once rose more than 5.1% during the session, Rivian once rose more than 4%, Lucid Group once rose more than 3.7%, charging network operator ChargePoint Holdings once rose more than 3%, Beam Global once rose more than 2.7%, Blink Charging Company once rose more than 2% at the beginning of the session, Xpeng Motors rose more than 6.9%, NIO rose more than 5%, Zeekr rose more than 4.3%, and Ideal's increase once expanded to more than 4.4%.

Additionally, marijuana stocks have also gained attention due to the Democratic Party's friendly stance toward the marijuana industry.

Oil stocks fell:

Chevron fell more than 1.2% during the session, ExxonMobil's losses widened to more than 1.2%, and ConocoPhillips fell more than 1.8%.

Harris is seen as a more radical oil industry "opponent" than Biden

Vice President Harris demonstrated her strong stance on environmental protection during her tenure as California Attorney General. She filed lawsuits against multiple fossil fuel companies, sued a pipeline company over an oil spill, and launched an investigation into whether Exxon Mobil misled the public about climate change.

Analysis points out that Harris is clearly opposed to offshore drilling and hydraulic fracturing. If she becomes president,She may adopt more radical environmental policies than Biden, strengthening regulation of oil companies and other polluting enterprises.Democratic Congressman Jared Huffman said in an interview:

"She's the type of leader who will hold the fossil fuel industry accountable, which is exactly what we need right now. She will absolutely continue and expand the Biden administration's successes on climate and clean energy."

Analysts and environmental advocates believe that Harris has a more radical attitude toward fossil fuel development than Biden. For example, Biden temporarily stopped offshore oil lease sales in his first week in office, but he did not fully fulfill his campaign promise to completely ban new oil and gas permits on public lands and waters. Harris may take stricter measures, such as a complete ban on new oil and gas permits and implement more environmental protection regulations to further restrict fossil fuel development.

Harris' policies could have a significant impact on the oil and gas industry, potentially leading to these companies facing stricter regulations and higher operating costs. Under Harris' leadership, renewable energy and clean energy projects are likely to receive more support and investment to accelerate the transition to a low-carbon economy.