"Markets hate uncertainty, and typically, the stock market dips in the month before the election. In October, the S&P 500 index fell about 1 percent, before rallying once the result is known."
"Even so, Seema Shah explains that a potential spike in short-term volatility would eventually be eclipsed by long-term gains linked to underlying economic trends. The S&P 500 gained about 57 percent under Trump and about 70 percent under Biden."
"Investors often find it tricky to make stock bets tied to presidential policy due to the unpredictability of what will pass through Congress and the potential impact on companies and markets."
"Quincy Krosby emphasizes that markets understand these election events as temporary, stating, 'There's always an understanding that this, too, shall pass, because it always has.'"
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