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čtvrtek 3. listopadu 2016

And what if it's Trump?!

The financial markets are obsessively living for the upcoming American presidential elections now more than Kim Kardashian lives for her excessive body. Financial markets got slandered by new surveys that are saying that D. Trump is lowering H. Clinton’s lead and according to some he even got to slight lead.

That is a hard hit for those speculators who were betting on the stability which would the Clinton bring. Trump would bring changes which is the only thing that’s certain. It is not certain what kind of changes they would be. (We can only likely assume that his victory would bring more “fun” to the financial market than the victory of his opponent in every sense of the word.) That’s why everybody involved started reinsuring operations.


They are preventively preparing for Donald’s victory. There are more and more guesses about how much would the victory of D. Trump shoot the stocks down. The guesses are differing at American index S&P from 4 to 11 %. That is a lot. But I must say that this guess is concerning only the initial reaction. It doesn’t count with something more dangerous, something I have been constantly pointing out in past months: If the markets crashed then under a certain circumstances it could start a wave of automatic trades, which would cause a more dangerous long-term negative trend.


The only thing we can say about the presidential elections now is that it will be close and suspenseful. If Trump wins than this trend is going to go on for at least couple of years. And then we will see; all options are open – it is going to depend on his first statements. What is interesting about Trump is that he still doesn’t know what he wants. There is also one possible option that after the elections we will find out that the pre-election speeches are just speeches - and he’s going to rule like everybody before him. Just like the exactly opposite option that he will turn the American politics about 180 degrees. To bet on Clinton is more transparent from this point of view because everything would just get back where it used to be.


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