As you can see below, the years prior to a presidential election, and the election year itself, tend to be good for stocks as candidates make promises for a new tomorrow.
Then, after the honeymoon is over, reality sets in and the bills come due.
But twice this century, in 2000 and 2008, stock market performance during election years was not good at all, as hanging chads and “hope and change” polarized investors. And the years before the elections were not much to write home about either.
America is currently in the year before a presidential election and, so far, markets are on a tear. But have Americans ever been as divided?
Remember, successful Americans vote with their wallets—in the voting booth and the stock market.
If they feel government is coming for them, you can forget using the presidential cycle as a crystal ball.
E.J. Smith - Your Survival Guy
Latest posts by E.J. Smith - Your Survival Guy (see all)
- Welcome to the Interest Rate Prediction Business, JACK! - February 26, 2021
- Petrified Snow/Ice Fishing? How about a Boat? and More - February 25, 2021
- COVID Chaos: New York and California vs. Florida and South Dakota - February 24, 2021
- How One Man and His Family Survived the Texas Deep Freeze - February 24, 2021
- UPDATE: Your Gun Rights and Freedom Are Under Assault - February 22, 2021