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October 11, 2020 | Stock Market Still Betting on Trump

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.

With the election campaign headed down the stretch, investors are still betting Trump will win. The Dow Industrials have risen to within striking distance of February’s 29,568 record. Does anyone think this could have occurred if Biden were a shoe-in, as the pollsters would have us believe? More likely is that the Dow would be trading 5000 points lower, on its way to 10,000, if the stock market caught even a whiff of a possible Biden/Harris victory. A few pundits have asserted that Biden is Wall Street’s choice. This claim is so outrageous that no one in America, including Trump’s foes, could possibly believe it.  It holds up only if you think Biden’s path to the White house is certain. Then it would be logical to infer the stock market is not merely comfortable with this outcome, but exuberant about it. In pushing the Wall Street-for-Biden narrative, the mainstream media have wishfully channeled Joseph Goebbels: Repeat a lie often enough and it becomes the truth. Not quite, though, since there is Fox news commentator Tucker Carlson to firmly set the record straight. His nightly show is not only the most-watched news program, it is the most-watched program in cable television.

Americans Have Eyes

Concerning the pollsters, we wonder whom they’ve been calling. Not us, for sure, nor anyone we know. But we do have more than a few left-leaning friends, including some Berkeley liberals, who will be surreptitiously voting for the incumbent. There are also nearly a half-million blacks, gays, trannies and Latinos who have left video testimonials to Trump on Facebook as part of the #WalkAway Campaign. But the vast majority of Trump supporters, including a significant number of swing voters who can’t stand Trump personally, will be pulling the GOP lever on November 3 simply because they watch the news and see what is going on in America. The summer’s spectacle of nightly urban riots in particular, which the Democrats not only failed to condemn but supported legally and financially, will help put Trump over the top.

Dems’ Radioactive Platform

I remain confident Trump will win because I do not believe most Americans will choose to support:

*  The toxic, patently false narrative that we are a racist nation

*  An all-encompassing Green New Deal that Karl Marx would have loved

*  The hollowing out of local law enforcement and the criminal justice system

*  A Supreme Court with a permanent super-majority of left-wing, activist judges

*  A newly emboldened teacher’s union eager to kill charter schools once and for all

*  Mandatory sensitivity training for all of us

*  Crushing tax increases for the middle class to pay for free everything

*  Scorched-earth legislation to punish red states

*  The re-regulation of businesses by federal, state and local commissars

*  A nauseating, years-long victory celebration by the new media, Hollywood and Whoopi Goldberg

Covering Our Bases

The polls have got it even more wrong this time than they did in 2016. Millions who plan to vote for Trump aren’t talking about it because they fear censure and the disapproval of even their closest friends. Their votes, along with those of the growing  army of ‘Walk Away’ apostates noted above, should suffice to give Trump a comfortable victory margin. Even so, we are covering our bases with bearish stock-market bets just in case. For detailed suggestions, check out the recording on butterfly spreads that will soon be made available to all Rick’s Picks subscribers.

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October 11th, 2020

Posted In: Rick's Picks

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