The Dow Jones Rose Sharply
Stock markets fly in full electoral hangover in the United States: keys to investing and understanding markets.
In this uncertain scenario, a few days ago an international investment firm recommended its clients to invest in sectors that were not on the agenda either for him or for his rival, Democrat Joe Biden.
The markets seem oblivious to the counting of the elections in the US and maintain their rally despite the fact that the still president and Republican candidate, Donald Trump, threatens to litigate until the last moment. In this uncertain scenario, a few days ago an international investment firm recommended its clients to invest in sectors that were not on the agenda either for him or for his rival, Democrat Joe Biden. Eliminating the political noise when looking at the stock markets has become these days and…
The Dow Jones rose sharply in Thursday trading and ultimately gained 1.95 percent to 28,390.51 points.
Despite the open outcome of the US presidential election, the US stock markets continued their recovery on Thursday. In addition to the electoral hanging game, the monetary policy decisions of the US Federal Reserve were the focus of investors in later trading. The US Federal Reserve (Fed) will not make any changes to its already ultra-loose monetary policy shortly after the presidential election. The key interest rate will remain in the extremely low range of 0 to 0.25 percent for the foreseeable future, and the billion-dollar bond purchases to support the economy will continue as usual.
The productivity of the US economy rose less than forecast in the third quarter. The ratio of production and working time increased by 4.9 percent over the year. Analysts had expected an average increase of 5.6 percent. Last week, the number of initial jobless claims was 751,000, around 7,000 fewer than the previous week. Experts had only expected 735,000 new applications.
President Donald Trump’s Democratic challenger Joe Biden is only a few electoral votes missing for entry into the White House. However, the incumbent has already sent his attorneys with lawsuits against the further counting of votes in several states in order to prevent a defeat by legal means. In addition, there are increasing signs that everything will remain the same in the politically divided Congress: A republican Senate majority will likely face a democratically dominated House of Representatives in the future.
This would not only reduce the likelihood of a new, trillion-dollar economic stimulus program against the effects of the corona pandemic. It would also hardly be possible for Biden to change anything in the tax policy of his predecessor or to enforce stricter regulation of the domestic technology giants.
The Dow Jones Rose Sharply - /10