“If he’s elected, the stock market will crash,” said U.S. President Donald Trump, of his challenger, former Vice President Joe Biden, during the final debate before the November 3 presidential election. However, stock futures in Asia and the U.S. barely budged on Friday after the face-off.
That said, investors in Brazil might be advised to carefully consider all the possible outcomes for the U.S., as any turbulence in the world’s largest economy usually spills over to Brazil — especially when it comes to the stock market.
At this point, it is hard to know what exactly will happen to markets following Election Day. The campaign has been framed as a referendum of Mr. Trump — both he and Mr. Biden have not exactly laid down a wide array of specific proposals for the economy, being restricted to foggy platitudes. As a matter of fact, the Democratic challenger has been able to run his campaign on auto-pilot, relying more on Mr. Trump’s shortcomings. Enthusiasm among Biden voters remains below 50 percent.
There are, however, some clues.