Democrat Senate win drives stocks higher, bonds lower

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Bonds nursed losses and stock markets rose on Thursday in anticipation of a big borrowing and big spending Democrat administration driving growth, following runoff elections that gave the party control of both houses of U.S. Congress.

FILE PHOTO: A man wearing a facial mask, following the coronavirus disease outbreak, stands in front of an electric board showing Nikkei and other countries stock index outside a brokerage at a business district in Tokyo, Japan, January 4, 2021. REUTERS/Kim Kyung-Hoon

MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.8% to just shy of a record high, led by a 2.6% jump by South Korea’s chipmaker-heavy Kospi and a 1.8% gain by Australia’s miner-and-bank heavy ASX 200.“It’s basically a re-flation trade,” said Mathan Somasundaram, head of Sydney-based research firm Deep Data Analytics, who added that the Democrat sweep was unexpected by most investors and “changes a lot.

The U.S. dollar also sank as the result became clearer because currency traders reckon that big and growing U.S. trade and budget deficits will weigh on the greenback. [FRX/] “What give us a little bit of a pause is that the economy is still very fragile and I think it’s unlikely that Democrats are going to have as easy of a time as markets are trying to predict in passing some of these policies,” said Tim Chubb, chief investment officer at wealth advisor Girard in Pennsylvania.

 

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Don’t be fooled by Wall Street , this is the fake break before the crash .

Watch renewable industries soar. Congrats TSLA

Every time a Republican is president we end up with a recession. It’s been this way for 50 years. With. Every. Single. Republican.

That always happens if stocks go down bonds go up. Has nothing to do with Democrats.

*Democratic

TheDemocrats are pro business!

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