The Democrats' Sweep May be Good for the Market

Standard & Poor's Chief Investment Strategist Sam Stovall says political unity has historically been good for stocks

The U.S. election is over. The die is cast. The Democrats have won the White House. In addition, the party has increased its majority in Congress, even though it fell short of the filibuster-beating level. While some worry about a single-party government with a blank checkbook and little oversight, history reminds us that, contrary to popular opinion, political unity has actually been good for stocks. Of course there is no guarantee that this time won't be different.

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