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Special Focus: US Elections

Published 04/11/2020, 06:23
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The race to the White House is a very tight one but betting market odds have flipped to favour Republican President Donald Trump over Democratic candidate Joe Biden, according to data from two aggregators;

Election results from Michigan, Pennsylvania and Wisconsin could take until later this week to complete official tallies, according to officials. The three states represent a combined 46 electoral votes, with 16 from Michigan, 20 from Pennsylvania and 10 from Wisconsin. That’s nearly a fifth of the required 270 electoral votes for a victory;

Democrats will keep their House majority, NBC News projected Tuesday, as the major U.S. parties;

Stock futures have been volatile on election night with many states still up for grabs. Futures for the Nasdaq-100 index, home to many tech stocks, have jumped the most (+2.6%).

A British gambler has staked $5 million dollars on President Trump winning re-election in what is believed to be the largest ever political bet;

JP Morgan (NYSE:JPM) sees S&P tumbling to 2,500 in case of "Blue Wave", surging to 3,900 if "Red Wave"; 77% of Americans think violence will break out after the elections.

Markets

Stocks jumped on Tuesday as investors hoped a clear winner would emerge from the U.S. presidential election and a delayed, or contested, result would be avoided. The Dow Jones closed 2.1% higher while the Nasdaq advanced 1.9%. It was the second-best Election Day performance for the S&P 500 on record. The pan-European Stoxx 600 ended up around 2.3%, with banks jumping 4.5% to lead gains. Gold was trading above $1,900 again as dollar weakened.

Macro

After a rancorous presidential campaign that exposed the depth of the political divisions in the United States, Americans streamed to the polls on Tuesday to choose either incumbent Donald Trump or challenger Joe Biden to lead a pandemic-battered nation for the next four years.

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