US presidential elections and the stock market: A look from a financial perspective.

US presidential elections and the stock market: A look from a financial perspective.

According to a report by www.boersen-zeitung.de,

The upcoming US presidential elections next year raise the question of what economic impact this could have on the market. Statistical analyzes over the past decades show that US election years have a particular impact on the markets. There is a sideways trend until summer, while the period from summer to the end of the year is particularly positive with an average performance of over 8%. This is attributed to the hot election campaign and the associated promises and desire for change.

However, different patterns emerge for the German market. The start of the year until mid-February and the phase from mid-March to early September show positive trends, while particular caution is required from the end of September to the end of October. This is explained by the fact that Germany now has a certain life of its own and has become somewhat more independent of the USA economically.

The current upward movement of the DAX fits in with the usual year-end rally, but must be viewed with skepticism. A sustainable upward trend is doubted by skeptics, while optimistic investors are betting on new highs for the market. Regardless of this, statistical analyzes show that in most election years a fairly positive stock market year can be expected, which can also be observed in Germany in certain phases.

Given the upcoming elections and assuming no new crises arise, there is no cause for concern. It remains to be seen how political developments and election results will affect financial markets worldwide.