US Seen as Safe By Investors- Promising Numbers Refute Political Claims

Despite the clouds of doubt that have been forming over the past some time, America has yet again emerged as a safe haven for investors. With the US stock-markets sky-rocketing to new heights and the Dow up by a staggering 3100 points, it looks like America is still viewed as the safest option by investors. This comes as a stark contrast to Donald Trump’s rather negative expectations of America”s economy. Clearly, investors have not lost their faith in the US as being a stable nation, just as always.

A number of turmoils have rocked the world this year such as the Brexit and the recent coup in Turkey. As such, the shooting up of the US stock market comes as great news even as America heaves a sigh of relief. Though America is a well-established market and naturally one with more expensive shares, the investors seem to prefer to trust their money with it. America has gained close to 17 times more than its estimated forward earnings as indicated by MSCI index of US stocks. This is even more than countries like UK and Japan, and also the Eurozone.

And as far as the race to the White House is concerned, a recent poll showed that the support for Trump is rising significantly. This should alarm the investors who were otherwise not very worried about him because they assumed he would not really make it. How the investors react now is a question best left to be answered in the future.

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