Politico – Wall Street braces for election chaos
Wall Street braces for election chaos
By BEN WHITE and AUBREE ELIZA WEAVER – 09/25/2020
Wall Street brace for election chaos — I write here at greater length on the question of what will happen to Wall Street if the election result is not known on Nov. 3 or anytime soon after. Or if President Trump clearly loses but cries fraud and refuses to leave.
Because Wall Street can deal with whoever wins the presidential election … What investors can’t stomach — and are increasingly nervous about — is a rapid descent into banana republic-style chaos.
“The rising uncertainty about a post-Election Day fight is already spurring increasingly aggressive bets on Wall Street for a surge in volatility in the coming weeks. … Wall Street analysts are bracing for a chaotic Election Day and a bitter battle to follow that could feature protests and even violence in the streets.
Cumberland’s David Kotok emails: “High yield spreads widening means falling stock prices means investors fleeing means Trump more shrill means more spread widening. POTUS sinks himself and investor class. Congress following POTUS’ lead. Aaarrgh!”
Read the full story at Politico: https://www.politico.com/newsletters/morning-money/2020/09/25/wall-street-braces-for-election-chaos-790628
Links to other websites or electronic media controlled or offered by Third-Parties (non-affiliates of Cumberland Advisors) are provided only as a reference and courtesy to our users. Cumberland Advisors has no control over such websites, does not recommend or endorse any opinions, ideas, products, information, or content of such sites, and makes no warranties as to the accuracy, completeness, reliability or suitability of their content. Cumberland Advisors hereby disclaims liability for any information, materials, products or services posted or offered at any of the Third-Party websites. The Third-Party may have a privacy and/or security policy different from that of Cumberland Advisors. Therefore, please refer to the specific privacy and security policies of the Third-Party when accessing their websites.
Sign up for our FREE Cumberland Market Commentaries
Cumberland Advisors Market Commentaries offer insights and analysis on upcoming, important economic issues that potentially impact global financial markets. Our team shares their thinking on global economic developments, market news and other factors that often influence investment opportunities and strategies.