Before we dive into the weekly wire there are two BIG disclaimers we need to address. First, we are not determining which political party bears responsibility for the state of fiscal stimulus negotiations. Second, I am a horrible negotiator—be it trying to work out a bedtime with my son or lower the price on a major family purchase, negotiating is not a strength of mine. So, I am not the person to discern if President Trump’s announcement last week to end talks with Democrats on a fourth COVID-19 economic rescue package was a negotiating tactic – and if it was a successful one or not. For those of us rattled by the news, recall the President’s behavior as our country worked through US/China trade relations last year, an issue that weighed on corporate sentiment and spending. On more than one occasion the President walked away from the negotiating table with China, only to ultimately secure a Phase One trade deal that helped push the S&P 500 Index (S&P 500) to its then all-time high in February. That give and take dynamic is worth keeping in mind as Wall Street awaits – and we think still expects – another COVID-19 economic rescue package from Washington, DC. Finally, with the S&P 500 up 5.54% since August 3, our Election Countdown Calculator indicates Donald Trump will win reelection.
Tagged: weekly wire, market perspectives, Tim Holland, S&P 500 Index, Presidential election, Election Countdown Calculator, COVID-19