The anxiety over election uncertainty has sneaked into markets, leaving enough room for a bigger market volatility for this week. The CBOE Volatility Index (.VIX) had already soared 40% from 15.67 on October 28 to 22.15 on November 3, while S&P 500 has lost 2.2% during the same period. On Friday, the S&P 500 index remained low for the longest period since December 1980. The pre- and post-election periods typically have opposite effects on an investor’s optimism. Pre-Election Period Real Clear Politics data shows that even though Clinton leads in most of the polls, the race could be a tight one. Except on 3 occasions sinceRead More →

On August 18, 2016, Donald J. Trump tweeted, “They will soon be calling me Mr. Brexit.” Markets may agree. The uncertainty of November 8 vote may impact markets similar to the EU Referendum, which resulted in the Brexit. The vote to leave the EU went against most economists’ perpetual warnings of a Brexit. The former British Prime Minister, David Cameron, Bank of England and HM Treasury had repeatedly warned Britons that Brexit would raise global economic concerns for the UK. But the unanticipated Brexit result sent markets in a flurry. Loss of confidence sent the pound to its lowest levels since 1985, London equity marketsRead More →