High-level things that people/market celebrates:
1/ more M&A in the US
2/ certainty in taxes: Harris proposed raising corporate income tax, stock buyback tax, unrealized capital gains tax
3/ near-term possibility of ending wars globally
Rates / Treasury yields
bad for long-term bondholders – higher inflation, higher deficits (more supply). but long-term treasury can’t rise too much – it can hurt US domestic mfg etc. if rates are high.
Trump would want Fed to cut rates. Even if Fed cuts, long-term bond yield could be hard to come down.
Thus, we should see a steepened yield curve, which is good for banks! Banks are borrowing current (cheaper cost) and lending long-term (higher yield).
China
1/ less probability of near-term war on TW strait (less idealogical driven; deal maker)
2/ higher tariff, less export – China needs to rely more on domestic consumption
Industries
1/ obviously, IRA could be changed. Then bad for renewables like solar, etc. It’s such an interesting industry.. no real demand if no IRA?
2/ crypto obviously, can boom especially if a new pro-crypto SEC chair comes in power