Wall Street has come around to the dark side.
“Far from panicking at the prospect of a Biden win, Wall Street CEOs, traders and investment managers now mostly say they would be fine with a change in the White House that reduces the Trump noise, lowers the threat of further trade wars and ensures a continuation of the government spending they’ve seen in recent years.
“The market is focusing on an end to the uncertainty around the Trump administration, and that in many respects is what underscores the pricing action around a possible Biden scenario and a blue wave,” said Joseph Brusuelas, chief economist at consulting firm RSM US. “Firms and investors crave stable expectations and that is how the Street is interpreting a likely Biden victory.”
The rise in COVID cases and no new stimulus from Congress is doing a number on the markets this week. (Much to Mr. Trump’s chagrin.) A Biden victory appears to change the trajectory. Or at least the stability provided by a chaos-free administration does.