The Ultimate Market Analysis: Trump’s Victory, Market Reaction, and Investment Strategies for You!
In the aftermath of the weekend’s events, the market showed signs of expecting a Trump victory. But hold on, let’s not jump to conclusions just yet. November is still far away, and January 2025 is even further. The market seems to be pricing in assumptions about what a Trump win would mean:
– Lower taxes
– Focus on drilling for oil and gas instead of alternative energy
– Hawkish trade policies like tariffs
– Support for traditional finance and cryptocurrency
– Pressure on Powell to lower rates
– Stronger dollar
– Potential revenue from Truth Social
– Unlikelihood of cannabis rescheduling
However, there are two key things to consider here:
1. Trump tends to go with popular opinion, so these policies could change based on external factors.
2. The economy is still facing challenges like inflation, geopolitics, and consumer confidence.
July has been following a bullish trend, with a peak expected around July 17th. But we have a new 6-month calendar range reset to watch out for. XRT closed in the red, with key levels to monitor.
As for ETFs:
– S&P 500 (SPY) at new highs
– Russell 2000 (IWM) approaching resistance levels
– Dow (DIA) hitting all-time highs
– Nasdaq (QQQ) still working through bearish patterns
– Regional banks (KRE) in a new range
– And more…
In conclusion, while the market is showing positive signs, there are still risks to consider. Earnings reports, Fed meetings, inflation concerns, and global uncertainty could impact your investments. Stay informed and be prepared for potential shifts in the market.