What investors should look for as Wall Street prices in a new political and financial outlook after the Trump shooting

2024-07-14
What investors should look for as Wall Street prices in a new political and financial outlook after the Trump shooting

The Aftermath of the Trump Assassination Attempt: Shaping the Future of U.S. Markets and Politics

The shocking news of the assassination attempt on former President Donald Trump has sent shockwaves through the U.S. political landscape, with pre-market trading set to begin on Sunday evening as Wall Street grapples with the potential implications. Analysts and industry leaders are closely watching how this event could impact the upcoming presidential election and the broader economic and regulatory landscape.

Navigating the Turbulent Political Landscape

The Shifting Odds of a Trump Victory

The assassination attempt has upended the political dynamics, with some experts suggesting that it could actually increase the likelihood of a Trump victory in the upcoming election. Ian Bremmer, the president of the Eurasia Group, a political risk research and consulting firm, has stated that the shooting at a Trump campaign rally could make a Trump win more probable. This sentiment is echoed by the endorsements of Trump by prominent figures like Tesla CEO Elon Musk and Pershing Square CEO Bill Ackman, who have publicly expressed their support for the former president.

The Implications for Congress and Majorities

The political fallout from the assassination attempt extends beyond the presidential race, as the control of Congress and the size of the winning majorities in both chambers have become crucial factors. The outcome of these down-ballot races could significantly shape the legislative agenda and the balance of power in Washington, D.C.

The Evolving Landscape of Regulation

The election result could also have far-reaching implications for the regulatory environment, particularly in the cryptocurrency and technology sectors. Crypto investors have already reacted to the news, with the price of Bitcoin surging in the aftermath of the assassination attempt. This suggests that the market anticipates a more favorable regulatory landscape under a potential Trump administration, as the former president is known to be pro-crypto.

The Supreme Court's Influence on Deregulation

The recent string of regulatory defeats for government agencies at the hands of the Supreme Court has also raised the prospect of a more deregulatory environment under a Trump presidency. This could open the door to increased mergers and acquisitions, as well as a shift in the approach to industry consolidation.

The Shifting Energy Landscape

A Trump victory could also signal a significant shift in the nation's energy policies, with a potential reversal of Biden-era initiatives aimed at tackling climate change. This could benefit the fossil fuel industry, while posing challenges for the renewable energy sector. However, the outlook for electric vehicle stocks may be more mixed, as Trump has expressed both support and skepticism for the industry.

The Limits of Washington's Influence

Despite the potential political and regulatory changes, some experts caution against assuming that lawmakers in Washington, D.C., are the primary drivers of the economy and markets. The increasing technological focus of the U.S. economy, with more than half of capital spending dedicated to technology, suggests that the country's economic and market performance may be less dependent on the occupant of the White House.

The Risks and Rewards of a Trump 2.0 Administration

While a Trump victory could bring about significant policy shifts, market veteran Ed Yardeni has warned that it would not be without risks. The potential for a renewed trade war that could depress global growth and revive inflation, as well as mounting federal deficits that could lead to a debt crisis, are two key concerns. However, Yardeni also notes that the system of political checks and balances in the U.S. has historically worked to moderate the extreme policy pursuits of any administration, regardless of who is in the White House.

Article "tagged" as:

Related Article

6 Sustainable and Healthy Fish to Eat (And 4 Types to Avoid)

6 Sustainable and Healthy Fish to Eat (And 4 Types to Avoid)

Here's the scoop on the best sustainable and healthy fish to eat regularly according to experts and a few fish types they recommend you avoid.
16 Pumpkin Pie Recipes to Make for Thanksgiving

16 Pumpkin Pie Recipes to Make for Thanksgiving

From traditional pumpkin pie recipes to elegant and creative variations (such as pumpkin pie pudding, cheesecake, and cupcakes), these scrumptious pumpkin pies will make your Thanksgiving holiday dessert a smashing success.
14 Easy Slow Cooker Appetizers that Make Entertaining Low Stress

14 Easy Slow Cooker Appetizers that Make Entertaining Low Stress

These holiday slow cooker appetizers will hit the spot for every guest. Our recipes include sliders, dips, fondue, and more!
Godzilla Roll Sushi Bake

Godzilla Roll Sushi Bake

This sushi bake recipe makes your favorite sushi roll a breeze to make. Get the delicious taste with half the work by following our Godzilla Roll Sushi Bake recipe.
Indian Masala Chili

Indian Masala Chili

Indian Masala Chili
How to Make a Smoothie from Your Favorite Fresh Ingredients

How to Make a Smoothie from Your Favorite Fresh Ingredients

Learn how to make a smoothie with your favorite fruits, veggies, and dairy or non-dairy products. Skip the pricey juice bar or bottled options.
Make-Ahead Mini Cheese Balls

Make-Ahead Mini Cheese Balls

Once you learn how to make cheese balls that you can customize—and then freeze for up to three months—you'll never host a party without them! Depending on which cheese ball seasoning you choose, this make-ahead cheese ball recipe can fit any season or color palette.
Eggplant "Meat" Balls with Chimichurri

Eggplant "Meat" Balls with Chimichurri

Enjoy these plant-based meatballs for your next meatless dinner.
Slow Cooker Italian Sausage Grinders

Slow Cooker Italian Sausage Grinders

Make hot Italian sausage subs for a crowd with this easy slow cooker sandwich recipe. This easy Italian sandwich recipe makes enough meat for 12 subs, so it's great for a party or potluck.
Low-Sugar Chocolate Chip Zucchini Muffins

Low-Sugar Chocolate Chip Zucchini Muffins

Enjoy these moist healthy muffins for breakfast or with your afternoon tea.
How an Orchestra Orchestrates a Live Journey Through a Video Game

How an Orchestra Orchestrates a Live Journey Through a Video Game

A controller will direct a conductor's baton during Journey's live performances at the Brooklyn Acad
Fashion and Beauty: 3 Hottest summer nail colours

Fashion and Beauty: 3 Hottest summer nail colours

This article discusses the latest nail color trends for the summer season. It highlights three popul
Marni SS25 Collection: A Story of Fashion and Beauty

Marni SS25 Collection: A Story of Fashion and Beauty

The article explores how the "hero's journey" narrative structure is reflected in Marni's SS25 colle
Victoria’s Secret Fashion Show 2024 Makeup-Free Backstage Beauty With Tyra Banks & More Models

Victoria’s Secret Fashion Show 2024 Makeup-Free Backstage Beauty With Tyra Banks & More Models

The 2024 Victoria's Secret Fashion Show is making a highly anticipated return to New York City, feat
5 Video Games Based On Hit TV Shows

5 Video Games Based On Hit TV Shows

The article discusses the cross-pollination between entertainment mediums, focusing on the trend of
“Classic part of the game”: GTA 6 Fans Worry as They’ve Not Seen 1 Iconic Part of the Grand Theft Auto Franchise Yet, While Others Hope It’s Cut

“Classic part of the game”: GTA 6 Fans Worry as They’ve Not Seen 1 Iconic Part of the Grand Theft Auto Franchise Yet, While Others Hope It’s Cut

The article discusses the hype surrounding the highly anticipated Grand Theft Auto VI (GTA 6) and th
Spies, breakups and thick glasses: Philly’s Pig Iron obsesses over Aimee Mann in ‘Poor Judge

Spies, breakups and thick glasses: Philly’s Pig Iron obsesses over Aimee Mann in ‘Poor Judge

The article discusses a new theatrical production called "Poor Judge" by Pig Iron Theatre, which is
Weekend Entertainment Highlights: Lizzo, Diddy & More (November 30, 2024)

Weekend Entertainment Highlights: Lizzo, Diddy & More (November 30, 2024)

This text presents various news. Lizzo is on a weight loss journey and shows off her slimmer figure.
Skyline Chili voted ‘Best Regional Fast Food’ in US, according to new poll

Skyline Chili voted ‘Best Regional Fast Food’ in US, according to new poll

Skyline Chili, a beloved Cincinnati-based fast food chain, has been named the "Best Regional Fast Fo
Governor Gianforte Launches 4th State Agency Food Drive on 5th Day of Giving

Governor Gianforte Launches 4th State Agency Food Drive on 5th Day of Giving

The Governor's Office announced the fourth annual state agency food drive competition on December 6,