Elections, Viruses and Markets

In this short time period before the 2020 elections, investors are trying to juggle the Covid-19 pandemic as well as all the political rhetoric.  The following three articles may be of interest to you:

1.  Election uncertainty looks increasingly certain is authored by John Emerson and Reagan Anderson, both of upper management in Capital Group.  They remind investors to “prepare for rising market volatility as Election Day approaches”,  but that “investors should remember that markets have eventually moved higher even in turbulent times.”

2.  Economist Jared Franz with Capital Group participates in a second article, Recovery watch:  When will growth return?, along with economist and research director, Darrell Spence, and Steve Watson, who is an equity portfolio manager.  The article concludes with an investment implication that “we need to brace for more volatility ahead, but we can still find good, compelling investments for the long term.” 

3.  Finally, “Significant U.S. policy changes are on the horizon, regardless of which party prevails in November” as per the author of U.S. political change:  Sweeping or incremental?  One of Capital Group’s economists, Jared Franz, indicates that “despite the divisive rhetoric,” both sides “have some key priorities in common” including “infrastructure spending, lower health care costs and higher wages.”

 

Be aware, and stay the course!