Howestreet.com - the source for market opinions

ALWAYS CONSULT YOUR INVESTMENT PROFESSIONAL BEFORE MAKING ANY INVESTMENT DECISION

November 5, 2018 | Democrats Should Be Careful What They Wish For

Rick Ackerman

Rick Ackerman is the editor of Rick’s Picks, an online service geared to traders of stocks, options, index futures and commodities. His detailed trading strategies have appeared since the early 1990s in Black Box Forecasts, a newsletter he founded that originally was geared to professional option traders. Barron’s once labeled him an “intrepid trader” in a headline that alluded to his key role in solving a notorious pill-tampering case. He received a $200,000 reward when a conviction resulted, and the story was retold on TV’s FBI: The Untold Story. His professional background includes 12 years as a market maker in the pits of the Pacific Coast Exchange, three as an investigator with renowned San Francisco private eye Hal Lipset, seven as a reporter and newspaper editor, three as a columnist for the Sunday San Francisco Examiner, and two decades as a contributor to publications ranging from Barron’s to The Antiquarian Bookman to Fleet Street Letter and Utne Reader.

Election day is finally here! The results are certain to have a profound impact on investors’ outlook for the economy, although no one can predict with confidence how things are about to turn out. My gut feeling is that Republicans will win big, rebuking a mainstream media whose polls are just as fanciful as they were in 2016. Regardless, if it appears that Republicans have retained a majority in both houses, stocks will move higher — probably sharply so for at least the first couple of days. If the GOP holds only the Senate, stocks will fall, possibly hard; but if the Republicans lose the upper house, be prepared for the worst — i.e., the ‘Trump rally’ in reverse.

Scorched-Earth Policy

The Democrats have promised a scorched-earth policy that will make Sherman’s March through Georgia look like the hokey pokey. Even if they don’t impeach Trump, they’ll launch endless investigations as pointless, destructive and draining as the Mueller probe. The consequences for the U.S. economy, and for governance itself, would be so grave as to be almost unimaginable.  Indeed, the reason I believe Republicans will carry the day is that most voters deeply understand what a panoramic catastrophe it would be if the likes of Nancy Pelosi, Maxine Waters and Chuck Schumer are put back in charge. Even their supporters must know that a violent lurch to the left couldn’t possibly be good for the country — not that such thoughts will be on their vengeful minds when they pull the lever on Tuesday to vaporize Trump, his supporters and all they stand for.

STAY INFORMED! Receive our Weekly Recap of thought provoking articles, podcasts, and radio delivered to your inbox for FREE! Sign up here for the HoweStreet.com Weekly Recap.

November 5th, 2018

Posted In: Rick's Picks

Post a Comment:

Your email address will not be published. Required fields are marked *

All Comments are moderated before appearing on the site

*
*

This site uses Akismet to reduce spam. Learn how your comment data is processed.