Varney & Co.’s Susan Li confidently predicted that market trends favor President Trump’s reelection as Wall Street rallies 650 points on Tuesday morning.
U.S. stocks are in rally mode for a second straight session on Tuesday as investors braced for a pivotal election outcome that could frame economic and market policy in the coming four years.
Fox Business Network’s Maria Bartiromo predicted that an Election Day victory by Joe Biden would prompt a “sizable sell-off” on Wall Street, citing the Democratic nominee’s plans for taxing capital gains.
“That means right after the election, if Joe Biden were to win, I would expect a sizable sell-off in the stock market just because people, if they have made money, if they have gains on paper, they are going to say, ‘Well, let me sell those gains now and capture my gains and get a 23 percent capital gains tax as opposed to a 44 percent tax,’ which is going to happen next year should those tax reversals go in place,” Bartiromo told “America’s Newsroom” on Monday.
As Americans head to the polls, stock markets are surging.
The Dow Jones Industrial Average jumped 650 points Tuesday morning.
Investors are hoping for a clear-cut winner!
— David Nicholas (@DavidANicholas) November 3, 2020
Biden has proposed taxing capital gains at the same rate as ordinary income for people with income above $1 million, raising the top rate from 20 percent to 39.6 percent.
The Dow Jones opened up 250 points on Tuesday morning. Varney and Co. predicted President Trump will win the election based on the markets that have historically been a trustworthy indicator of presidential elections.
(Video Courtesy of Jim Hoft, Gateway Pundit)
FBN’s Susan Li reported, “Since 1928 how the broader market does before the vote usually presents a winner, 86% of the time according to LPL Research. A simple formula here. If the broader market is higher, the incumbent wins. If it’s lower the White House flips. So we’re starting this morning, just barely, 26 points higher than three months ago. This year, as you know, is different than other years.”
The Dow Jones Industrial Average has recovered most of the losses it suffered during the early days of the pandemic.