The stock market is liking the election results today.

[Honeycombe8]

Last edited Wed Nov 7, 2018, 06:00 PM - Edit history (1)

S&P +2.12%
Dow +2.13%
Nasdaq +2.64%

[DetroitLegalBeagle]

1. Of course it does

The stock market loves stability. A split congress typically means gridlock. Little to no meaningful policy changes are now likely in the short term.

[Honeycombe8]

2. Except that the House is in control of the money. It can stop certain things.

No gridlock there.

[DetroitLegalBeagle]

3. The Senate still needs to approve budget resolutions

Spending bills originate in the house, but still require Senate approval to go into effect. The Dem controlled house doesn't have to fund a damn thing that the gop or trump wants. And the GOP controlled senate has no requirements to pass any House spending bill. So gridlock.

[Honeycombe8]

5. Exactly. No gridlock. Depends on how you look at it.

The market has been going up already, then hit over 2% gains today. Quite a bit more than the 1.5% gains for 2016, which partly disappeared the next day. It took a month to build up to what we saw today in gains.

Just sayin. I think investors see some relief, possibly some answer to the tariff problem, which has been a drag lately.

[Cognitive_Resonance]

4. It's a relief rally...the uncertainty is over. nt