Investors brace for market swings as Trump slips in election polls | Malay Mail

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NEW YORK, June 10 — The US presidential election is re-emerging as a potential risk to markets after a shift in polls that has seen President Donald Trump lose ground to Democrat Joe Biden. Concerns over election-fueled volatility have regained prominence in recent weeks, even as broader market...

Wednesday, 10 Jun 2020 06:58 AM MYT

Concerns over election-fueled volatility have regained prominence in recent weeks, even as broader market swings have subsided and stocks have surged. Futures on the Cboe Volatility Index, known as Wall Street's “fear gauge,” show a visible bump in volatility expectations near the election. A Democratic victory could threaten policies championed by Trump and generally favoured by Wall Street, including lower corporate tax rates and fewer regulations, analysts said.

The closely-watched betting site PredictIt put Biden 9 points ahead of Trump, compared with a 6-point lead for Trump a month ago. The election-related concerns stand in contrast to a recent easing in broader market volatility: the VIX has fallen to its lowest levels since late February, while the S&P 500 has climbed 44 per cent from its March 23 closing low.

Netflix Inc, Visa Inc and Salesforce.com Inc are among the companies that have received a bigger than average benefit from the 2017 tax reform, the bank said.

 

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Investors brace for market swings as Trump slips in election polls
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