It has happened – the presidential election is over. A new Chief will take office as the 45th President of the United States of America. This news brought about smiles, happy responses and shock, dismay, gloom and hope. The markets also let us know what they felt. The repercussions were not favorable and many of the stocks tanked both in American and across the world. With a America divided and many going out in the streets chanting their unhappiness with the verdict, this upset may go on for a bit.
The markets are on edge because the media build up doing the rounds as well as comments that Donald Trump made during various campaigns. The problem is that many global stocks have tanked because of his objectives during election mode in hoping to do away with a couple of bilateral relations. Nevertheless, the President Elect did tone down his rhetoric and assured everyone that he would be fair and while putting the country first was his objective, relationships with other nations continue. Most often campaigns are fraught with anger at the present establishment. Once one is in office getting down to business is always the basis of how to charter the course to a unified nation and provide jobs and an economic surge.
Volatility in the stock market is a done deal across nations. Media reports have envisaged that investors have started buying stocks and selling bonds because of the stimulus package that Trump promised during campaigns. This has shown promise for the engineering, pharmaceutical and financial industries. Some of the key players in the market believe that in the long term it is a thumbs up for the mergers and acquisitions markets because of stringent regulations during the Obama regime. With an emphasis on the infrastructure promised by Trump, this is a welcome sign to many of the big names in the industry thereby ensuring stability of stocks and trade in this sector.
Gold remains a firm favorite in many of the global markets that have showed remarkable promise. While the value of the dollar did slide a bit the Japanese yen was churning ahead. Markets do have a sense of going high or low based on the mood of the people, policies and other factors. Unfortunately, with the constant negativity across the board, there has been a crazed reaction to the new commander in chief. Down the line, it is definitely going to look up without going frantic about manic buying or selling of the stocks and shares that you own.