UBS - UBS Predicts Stock Market Turbulence Ahead Of Biden Vs. Trump Election | Benzinga
The 2024 presidential election, with President Joe Biden and former President Donald Trump as the key contenders, is expected to significantly impact the stock market, according to UBS.
What Happened: UBS predicts that the stark policy differences between the two candidates could lead to significant market implications, reported Business Insider. The bank’s research report, published on Tuesday, highlights that the next eight months leading up to the election are likely to be particularly disruptive for investors.
“There are significant market implications arising from the stark contrast in the policies promulgated by the two candidates for president,” the bank wrote.
The report outlines four potential election outcomes and their potential impact on the stock market:
- Blue Sweep: A complete democratic takeover could lead to a corporate tax hike and increased regulatory pressures, potentially negatively impacting equities.
- Biden wins, Congress splits: This scenario, similar to the current legislative setup, could result in a muted market impact.