Markets Got the Midterms Right. Now What Happens?
- Futures avoid 2016’s histrionics as the vote goes as forecast
- Investors are left with the Fed, a trade war, peak everything
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For once, the consensus came true. Markets got it right and no violent repricing in equities was needed. A divisive episode of U.S. politics came and went, and investors are roughly where they were when it began. The question for bulls: can it actually last?
“This was our base case,” said Ben Phillips, chief investment officer of EventShares, referring to a divided U.S. Congress. “As far as markets are concerned, it is actually a decent outcome.”