Until Hillary Clinton’s recent difficulties with her email servers, a Clinton election victory looked priced into the market, but not anymore.
Although Clinton was exonerated in the latest FBI investigation of any wrong-doing, the controversial timing of the investigation narrowed the gap in the opinion polls and sent stock markets into spasms, so a rebound can be expected should she defeat Donald Trump in tomorrow’s election.
Analysts at JP Morgan have stuck a finger in the air to test which way the wind is blowing and have calculated/guessed (delete as applicable) that the US benchmark index, the S&P 500, will rise 3% should the Democratic Party candidate win.
The index, which closed at 2,085 on Friday, having shed around 40 points last week, will head back towards 2,150 should Clinton win. Stock markets abroad would also benefit from a Clinton victory, the investment bank’s prognosticators forecast.
Traders on the spread betting site IG Index expect the S&P 500 index to open sharply higher today, at 2,015.
Story by ProactiveInvestors