- Investors celebrate Joe Biden winning US presidency
- Marc Faber says Biden win more positive for market
- Dow Jones jumps 200 points at open as Blue Wave risks fade
- Emerging market stocks rally to highest since 2018 on Biden lead
- Who wins in the US will decide which sectors will shine in India
- Big tax changes unlikely with Republican Senate and a Democratic House
- Markets more comfortable with a split Congress than a Blue wash
- Wall Street gains as US election verdict hangs in balance
If Trump wins, history shows the market is going to go up. If the challenger wins, it is less likely to go up.
President Donald Trump holds a narrow lead in the battleground state of Florida, keeping open a path to the White House, which has upended expectations of a Joe Biden landslide.
Rupal Bhansali of Ariel Investments said markets might have already priced in a Biden victory.
‘At this point of time Mr Trump seems to have done very well in states which were a must win for Mr Biden.’
The Cboe Volatility Index, Wall Street's "fear gauge," declined as the S&P 500 climbed nearly 2% in part on anticipation of a clear presidential election outcome.
Democrat Joe Biden's lead over Republican President Donald Trump in national opinion polls has raised expectations for a decisive outcome and a post-election stimulus package that would make good on Biden's promises of infrastructure spending.
Investors could confront dramatically different paths for the country on taxes, government spending, trade and regulation depending on who wins the White House, the Republican Trump or Democratic former Vice President Joe Biden.
'Post the US elections and before the calendar year-end, we expect some corrections in equities globally which may provide an attractive entry point for investors.'
Analysts said the market is jittery that a second wave of Covid-19 cases in the US and Europe may bring back lockdowns. On the other hand, a decisive election outcome may pave the way for the much-delayed US stimulus that may support the economy and equity markets in general, they said.
The ECB kept rates and asset purchases unchanged, but stands ready to do more, if required, through any of the available tools at its disposal.
In the 2012 election, S&P500 fell 1.89 per cent in one month to election and another 1.01 per cent in the month that followed, even as Democrat nominee Barack Obama got re-elected after defeating Republican Mitt Romney.
The prospect of a Democratic clean sweep on Nov. 3 has steepened the U.S. yield curve to such an extent that holding 30-year Treasuries hedged for swings in the euro is at the most attractive level in five years, relative to equivalent German securities.
Will a Joe Biden victory trigger an equities rally if the Senate remains Republican? Can Big Tech repeat its 273% ascent under President Donald Trump?
And yet, for some investing veterans, there’s a nagging concern that this view is a little optimistic, that some of the things that have made Biden an attractive candidate for voters craving change could make for a rougher ride in markets.
The MSCI Asia Pacific Index has beaten the MSCI All-Country World Index by the most since 2008, thanks to a rally in Chinese technology stocks such as Tencent Holdings Ltd. and Alibaba Group Holding Ltd.
Betting against big technology has been a risky proposition over the last decade, as stocks like Amazon, Google and Netflix have shot higher at the expense of so-called value and cyclical stocks such as banks and energy companies.
The funds' weekly liquidity - a barometer of how quickly investments can convert to cash in a week - rose to 85% of total assets this week, according to disclosures by the bank.
The philosophy of the US judicial systems, the law of government versus markets in guiding the economy, social issues, racial issues are all at stake in this election right now, says Stephen Roach
Traditionally Republicans have been better for India, but in Trump’s case, the Democrats and Biden may turn out to be a better bet, says Swaminathan Aiyar.
A UBS analysis of the potential impact on a dozen of the region’s biggest markets put India as a winner in each of their three chosen scenarios: a Biden and Democrat sweep, a Biden victory and divided Congress, and a status quo Trump victory.
Nearly two-thirds of 58 economists who responded to an additional question in the Oct 16-26 poll said there was a high risk that the U.S. economic rebound could be halted by the surge in coronavirus cases, including five who said it was very high.
The US election event is very big but other than a little bit of volatility, In India, people will keep focussing on what is happening in terms of flows and earnings, says Hemang Jani.
“We’ll come back in November. The question might be, will there be something then?” Senate Appropriations Chairman Richard Shelby, an Alabama Republican, said Monday. The chances of a coronavirus relief bill before Nov. 3 are “very, very slim,” he added, referring to Election Day.
A clean sweep by Democrats would be "mostly neutral" for markets, JPM said in a note received on Monday, adding: "We see an 'orderly' Trump victory as the most favourable outcome for equities."
Caution is likely to be the watchword for investors, with the Nov. 3 vote set to reveal not just whether Joe Biden’s opinion-poll lead over Donald Trump will propel him to victory, but also determine the fate of the much-anticipated U.S. stimulus package. And there’s always the risk of a contested result.
The capital gains tax rate has historically been lower than taxes on ordinary income, which is the taxes paid on salary or business income. Wealthy people pay a disproportionate amount of these taxes, because they are more likely to hold financial assets such as stocks, bonds and real estate.
Treasury yields surged this week as traders started pricing in a resounding Democrat victory that all but removes the risk of a disputed vote and the volatility that would come with it. It may also spare the world from another wave of protectionist U.S. policy, which would boost the euro.
In US election, it all boils down to whether voters want taxes to go up or not, says Santosh Rao
The November VIX future, which expires two weeks after the vote, is trading at 29, around current levels of the spot index. A level of 30 implies the S&P 500 Index will move around 9 per cent over the next 30 days, according to analytics service SpotGamma.
``The election is kind of noise in the short term,`` said Kari Montanus, senior portfolio manager at Columbia Threadneedle Investments. ``It doesn't mean you dismiss it completely,'' but she said she doesn't want ``to try to position or make a bet on different outcomes.''
If you have invested in the US market, hedge it. In the Indian market, focus on export sectors which have done well for the time being, says Ajay Srivastava
Chinese equities feature high in some recommendations on expectations the vote will have a limited impact on Asian assets, while derivatives that protect against a market slide are also listed among the strategies.
Policy changes from new administrations brought on the biggest market reshuffles, he said. If Democrat Joe Biden wins and his party gains control of the Senate, “we should see a significant amount of rotation in the market,” he added.
When Democrat Joe Biden’s poll numbers increased, numerous strategists started talking about the idea of a “Blue Wave,” where his party would retain control of the House and win the Senate. That prospect could be favorable to markets as a Biden presidency is seen adding to the odds of a fresh round of fiscal stimulus.
Earnings trajectory for IT companies is going to continue upwards over the next two to three years and definitely for the next two to four quarters, says Anshul Saigal.
BofA’s poll signals that investors remain on edge ahead of the Nov. 3 election and fear a delayed outcome as the Trump campaign continues to raise questions about the legitimacy of mail-in ballots.