Wednesday, November 9, 2016

The S&P 500 in the last 5 Elections

Today the market is going nuts no doubt about it, and my bet is it will be crazy the next few days.

So let's take a look at our guide, history, to see how it's reacted at least in the most recent elections. As you'll see stocks will go up or down, and it doesn't seem to matter if you are Republican or Democrat. The take away? Making Money Knows No Politics! And stocks go up and down whether you elect a Democrat or Republican!

So let's go to the charts!

Here is Bill Clintons 2nd election November 5, 1996. Looks like the markets were happy at first as it rallied about 3.5% in the following days.

Here is George W Bush's 1st term, November 7, 2000. Looks like the market was a wee bit unhappy at first with a 4% drop.

How about GWB's 2nd term on November 2nd, 2004? Although the market was down from when his first term started it appears 4 more years of George Bush was suddenly a good thing as the market rallied roughly 50 points or 4% after he was re-elected.

What about Barack Obama? He had the fortune of presiding over one of the greatest bull runs in stock market history. He was elected November 4, 2008. Looks like the markets initially hated Obama as he caused a roughly 150 point drop or nearly 15%

For his second election on November 6, 2012 it looks bad too.  Looks like stocks didn't enjoy Obama in his 2nd term at first as the S&P dropped around 60 points or roughly 4%.

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