After weeks of worrying that Senator Bernie Sanders would trounce his rivals on Super Tuesday and set the tone for a rancorous Democratic nomination, Michael Novogratz, the longtime trader and merchant banker, was newly motivated on Wednesday morning.
Joseph R. Biden Jr., the former vice president and a moderate candidate with solid support on Wall Street, had notched an unexpectedly strong showing in the Super Tuesday primaries. Of course, Mr. Sanders could still win the nomination — but for Mr. Novogratz and others on Wall Street, Mr. Biden’s resurgence offered the opportunity to bankroll a Democrat they can get behind.
“There’s a lot of momentum on Biden’s side,” Mr. Novogratz said. Already, one of his colleagues at Galaxy Digital, a cryptocurrency investment firm, was planning a Biden fund-raiser. Mr. Novogratz himself was set to host a dinner Wednesday night to raise money for voter-registration efforts in swing states. Stocks, hammered in recent days over fears of the coronavirus — along with an undercurrent of worry about Mr. Sanders, according to some traders — were rallying as he spoke on Wednesday morning. Between the easing of interest rates and the improving political picture, Mr. Novogratz said, “we’re getting some bounce.”
By the end of the day, the S&P 500 had risen more than 4 percent, bouncing back from a steep drop the day before, reflecting Wall Street’s relief about Mr. Biden’s success.
