(STL.News) Stocks are declining (as of today at 1:31 pm EDT the DJIA down over 900 points) due to Washington’s lack of a stimulus package, and COVID-19 cases are rising. Additionally, as we close in on election day, uncertainty is never a health state-of-mind for investors.
The stimulus package has been delayed by typical politicians playing politics rather than doing their job and protecting Americans. While both parties point the blame to the opposite party, the responsibility falls on both parties. Democrats can easily publicly blame republicans, and the republicans can do the same.
The market has increased substantially on expectations of a strong economy. While the economy performs better than many expected, it will likely take a break until the election results remove the uncertainty.
Regardless of who wins the election, a stimulus package will most likely happen before the end of the year.
Trump insists that stock will decline if Biden wins the elections while Biden accuses Trump of being focused only on stocks.
It is a pretty solid expectation that the market will remain volatile for the next week or until the winner is announced.