U.S. stock index futures were sharply lower early this morning but well off overnight lows (SPY -1.6%), as a market that had been anticipating an election victory by Democrat Hillary Clinton scrambled to adjust to an upset win by Republican Donald Trump.
Here is the current market situation from CNN Money
European markets are lower today with shares in France off the most. The CAC 40 is down 0.99% while Germany's DAX is off 0.88% and London's FTSE 100 is lower by 0.06%.
NEW YORK (Reuters) - U.S. stock index futures were sharply lower early on Wednesday but well off overnight lows, as a market that had been anticipating an election victory by Democrat Hillary Clinton scrambled to adjust to an upset win by Republican Donald Trump.
WASHINGTON (Reuters) - Donald Trump's victory in the U.S. presidential race throws into question the core assumption in global financial markets that the Federal Reserve will raise interest rates soon and follow with further gradual hikes over coming years.
(Reuters) - Viacom Inc , the owner of MTV, Comedy Central and Nickelodeon, reported lower-than-expected quarterly revenue on Wednesday, weighed down by lower domestic advertising sales and the absence of hit movie releases at its Paramount film studio.
LONDON (Reuters) - The U.S. dollar, Mexican peso and world stocks fell on Wednesday as Donald Trump swept to victory in the U.S. presidential election, but fears of a Brexit-style shock that wiped trillions off global markets has failed to materialize so far.
(Reuters) - Shares of telecommunications giant AT&T Inc and media company Time Warner Inc fell in premarket trading on Wednesday amid fears that U.S. President-elect Donald Trump will hold good on his vow to block their proposed $85 billion merger.
(Reuters) - The election of Donald Trump as U.S. president puts new pressure on automakers and other manufacturers that have become dependent on open trade with Mexico, and raises the risk they will face higher costs.
LONDON (Reuters) - Oil reversed most of its early losses of almost 4 percent to trade near $46 a barrel on Wednesday, as the market recovered from an initial Brexit-like reaction to Donald Trump's surprise victory in the U.S. presidential election.
DUBLIN (Reuters) - U.S. president-elect Donald Trump's plans to slash corporate tax rates should not keep companies from setting up operations abroad, a move that would damage a key plank of Ireland's industrial policy, the Irish finance minister said on Wednesday.
LONDON (Reuters) - The dollar recovered most of the 2 percent it had earlier lost on Donald Trump's shock victory in the U.S. election on Wednesday, with investors not clear on whether a Trump presidency would be unambiguously bad for the currency.
Just like with Brexit, the so-called Wall Street experts scrambled to paint a picture of doom and gloom, warning traders, and markets, that the end of the world is imminent should Trump win, and that stocks could drop by 5%, 10% or more should Donald Trump get elected president. And again, just like in the case of Brexit, they convinced the algos and the momentum chasing traders. Briefly. Because after futures hit the 5% down limit shortly after the market realized it was dead wrong about the presidential election, they have since soared nearly 80 points of the overnight lows and are well above the Friday, pre-Comey close, level.
Simple: as we have repeatedly said, a Trump victory, coupled with lower taxes, a spike in infrastructure spending, and a surge in debt is precisely what the economy - and a normalized market, one not manipulated daily by central banks - wanted and needed, as it not only will prompt yields to rise, but it will assure even more QE in the near future as foreign buyers of US debt disappear (assuming Trump does not do away with the Fed entirely, which for a man running a real estate empire, he won't do as he ultimately needs lower rates).
As Trump said overnight, in a far less combative speech than pundits had expected, "We're going to rebuild our infrastructure...we're going to put millions of people to work as we rebuild." A tax-cutting and big-budget extravaganza means Treasuries will have a hard time staying higher, it also means a steepener yield curve, just the thing banks need and explains the jump in bank stocks this morning.
It also means much more fiscal stimulus, as various pundits discovered overnight.
It was an event-filled and turbulent evening last night as the results for the 45th US presidential election rolled in, signalling that the majority of the American electorate had voted for Republican candidate Donald Trump. Trump received over 270 of the 538 electoral college votes needed to secure a majority. Trump will now be inaugurated as US President on Friday January 20, 2017.
Media and Polls eat Humble Pie
This, the 58th US presidential election, will no doubt go down in history as one of the most unusual, divisive and wrongly predicted US presidential elections of all time. The official surveys of the expected outcome were proven to be way off the mark, and in fact the entire US polling industry may have to reassess its methodologies and enter a period of self-reflection. The mainstream media machine, particularly but not exclusively in the US, was also shown up throughout this election campaign to be glaringly slanted and in favor of the Democratic candidate Hillary Clinton at the expense of Trump, and a large amount of shock, b ...
Perhaps the most beneficial outcome resulting from last night's loss of the Clinton Clan's loss, whose "charitable" donations to the Clinton Foundation from generous donors such as Saudi Arabia just ended, is that with Hillary not in charge, the probability of World War III has been taken off the table. This was confirmed early this morning, When Russian President Vladimir Putin - whose relations with the US and Barack Obama have deteriorated to Cold War levels - congratulated Donald Trump for his election victory on Wednesday, and said he expected relations between the Kremlin and Washington to improve.
The Kremlin announced that Putin had sent a telegram to Trump on Wednesday morning expressing "his hope they can work together toward the end of the crisis in Russian-American relations, as well address the pressing issues of the international agenda and the search for effective responses to global security challenges."
Additionally, speaking at the presentation ceremony of foreign ambassadors' letters of credentials in Moscow, President Putin said that Russia is ready and looks forward to restoring bilateral relations with the United States, Russian President Vladimir Putin said, commenting on the news of Donald Trump's victory in the US presidential election.
"We heard Trump's campaign rhetoric while still a candidate for the US presidency, which was focused on restoring the relations between Russia and the United States."
He added that "we understand and are aware that it will be a difficult path in the light of the degradation in which, unfortunately, the relationship between Russia and the US are at the moment."
Speaking about the degraded state of relations between the countries, the Russian president once again stressed that "it ...
Oil futures tilt higher in volatile early trade Wednesday morning, as investors struggle to interpret the impact for crude prices of a surprise victory by Republican Donald Trump in his bid for the White House.
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