The latest Reuters/Ipsos poll of likely U.S. voters showed Donald Trump has surged in popularity and is now running nearly even with rival Hillary Clinton.
While many investors dismiss the idea that Trump’s extreme rhetoric involving the deportation of 11 million illegal workers and/or disrupting trade agreements with Mexico and China would ever actually be implemented, uncertainty surrounding Trump’s potential presidency could have a very real impact on the U.S. economy well before November’s election.
“When uncertainty is high, firms put on pause hiring and investment decisions,” Stanford University professor Nick Bloom explained.
“If Trump looks like a serious contender and is still making ‘Mexican Wall’ and ‘Trade Rape’ comments we will have the mother of all policy uncertainty spikes running up to the election.”
And if you think Bloom is exaggerating, Atlanta Fed President Dennis Lockhart has admitted that the election “could be a factor in this year’s economy.”
Without taking sides on the election itself, Dallas Fed President Robert Kaplan has said…
Click here to continue reading
Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!