The US votes today to elect its next president. Polls show the race to the White House is too close to call. Republican Donald Trump and Democrat Kamala Harris are neck and neck in this historic election. While public opinion polls are unclear, the financial market has shown its leanings. In recent weeks, the so-called “Trump Trade” has gained momentum, with movements in stocks, bonds, currencies, and even cryptocurrencies suggesting the potential return of Donald Trump as the 47th President of the United States.
But how do investment instruments like stocks or bonds predict election outcomes? What can these movements tell us about the election? And can they indicate voter sentiment?
Stocks and sectors
Both Donald Trump and Kamala Harris have outlined policy proposals that would impact the financial market. Historically, Wall Street has tended to favour Republican candidates for their tax cuts and business-friendly policies. In his…
