HomeLatest ThreadsGreatest ThreadsForums & GroupsMy SubscriptionsMy Posts
DU Home » Latest Threads » Forums & Groups » Main » Latest Breaking News (Forum) » Wall Street's big short: ...

Wed Mar 2, 2016, 08:17 AM

Wall Street's big short: President Donald J. Trump

Source: Reuters

Add the juggernaut that is Donald J. Trump to the list of what-ifs that is worrying Wall Street.

A growing realization that the unpredictable New York real estate developer is in a position to win the Republican nomination and then battle Hillary Clinton for the White House in November's election has caused some investors to sell U.S. stocks. They fear having such a wild-card president could trigger trade wars, hurt the economy and add a lot of market volatility.

"As the market rarely feasts on lack of predictability - Trump represents a nightmare for investors this year," said hedge fund manager Douglas Kass of Seabreeze Partners Management Inc, who said last week that he was adding to his existing short bet on the U.S. stock market in part because of Trump's increasingly strong position in the race.

Trump's statements on business and Wall Street don't neatly fit into one ideological worldview, but if anything, they are seen as isolationist in a globally connected world. He can also suddenly pick on businesses over various issues, such as his call for a boycott of Apple Incís (AAPL.O) products after the tech giant refused to help the FBI unlock the iPhone used by one of the San Bernardino shooters.

"The election this year is the height of uncertainty," said Phil Orlando, a senior portfolio manager and chief equity strategist at Federated Investors in New York, which manages $351 billion. He said political concerns - personified by Trump's emergence as a frontrunner - are one of the main reasons why he began reducing equity exposure in mid-January.

There are, of course, plenty of other factors having an impact on U.S. financial markets. U.S. stocks rallied on Tuesday after strong U.S. factory and construction data suggested the economy was regaining momentum. That was even as investors contemplated expectations that Trump would do very well in 11 states holding Republican primary or caucus elections on this Super Tuesday.

Read more: http://www.reuters.com/article/usa-election-trump-markets-idUSKCN0W40AA

5 replies, 1706 views

Reply to this thread

Back to top Alert abuse

Always highlight: 10 newest replies | Replies posted after I mark a forum
Replies to this discussion thread
Arrow 5 replies Author Time Post
Reply Wall Street's big short: President Donald J. Trump (Original post)
Lodestar Mar 2016 OP
vdogg Mar 2016 #1
Old Vet Mar 2016 #2
rtracey Mar 2016 #3
GOLGO 13 Mar 2016 #4
Earth_First Mar 2016 #5

Response to Lodestar (Original post)

Wed Mar 2, 2016, 08:34 AM

1. I never want to see those words strung together again.

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Lodestar (Original post)

Wed Mar 2, 2016, 08:50 AM

2. If one steps back.............................

And grasp a moment of reality, Somehow, Someway Mr Trump Never gets near the whitehouse.

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Old Vet (Reply #2)

Wed Mar 2, 2016, 09:39 AM

3. only if

 

Only if the losing candidates supporters support the party nominee, whomever it is and not waste time "sitting this one out", or voting for mickey mouse or writing in another candidate.... We can battle between our candidates now, but in the end party must... no MUST unify.

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Lodestar (Original post)

Wed Mar 2, 2016, 10:08 AM

4. My 401k prospered under both Clinton & Obama. However,

under Bush my portfolio took a beating. So yeah another Republican president? Goodbye bull market, Republicans are gonna shit it up again.

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Lodestar (Original post)

Wed Mar 2, 2016, 11:47 AM

5. Just below the surface of this article lies: "We are vetting the process here..." n/t

Reply to this post

Back to top Alert abuse Link here Permalink

Reply to this thread