A survey conducted by a leading financial publication found that two-thirds of top investors surveyed believe that the stock market will fair “worse” under Democrat Joe Biden than it did under Republican President Donald Trump.
CNBC’s survey, conducted earlier this month, polled more than “100 chief investment officers, portfolio managers and CNBC contributors who manage money about where they stood on the upcoming year for stocks under a new administration.”
Two-thirds of those polled said that they believe that the stock market will be worse during Biden’s four-year term than it was under Trump’s four-year term.
CNBC added:
Since Trump’s inauguration in January 2017, the S&P 500 has rallied more than 60% thanks in part to the president’s landmark corporate tax cut that led to a surge in profits and a record in share buybacks. The Trump administration has also relaxed many regulations over the last four years, creating a market-friendly environment for oil and other industries.
Many investors worry that a reversal of the tax cut, which Biden has pledged, could take a big bite out of earnings at a time when market valuations are sitting at multiyear highs. Biden’s tax plan calls for raising capital gains rates for high earners.
Two-thirds of respondents said that they believe that the Dow Jones Industrial Average (DJIA) will hit new highs next year. – READ MORE
Listen to the insightful Thomas Paine Podcast Below --