Profound change swept across the electoral map on its way to upending Washington, DC, last week. But how much has truly changed for economic and investment conditions? In the last-minute anticipation and then immediate reaction to Donald Trump's victory on Tuesday, nearly everything broke in favor of risk markets. A quick and decisive election result instantly released pent-up tension over the chance of a hung outcome.
mountain Tesla, 5 days More concretely, the mere hope of a possible corporate tax cut and of industry empowered to tilt regulations more in their favor can sustain the feeling that earnings growth can improve by late next year and perhaps lengthen an economic cycle that not long ago seemed to be losing momentum. For sure, the S & P 500 is by some measures running a bit hot, pushing above the top end of its two-year bull-market path.