New President Elected: Nation Gets Ready For Change, But Will the Markets?
November 05th, 2008
To the victor go the spoils ... and the economic mess. President Elect Obama and the now Democrat-controlled Senate and House will have one of the toughest tasks in recent history in store for them when the new administration takes office in mid-January.
Plans will be finalized on Wednesday for the borrowing of a record $550 billion that is to be spent in the next three months before the end of the Bush administration. In addition to that amount, the Treasury Department stated that an additional $368 billion will be needed in the first quarter of 2009.
Stocks were up in Asia as the events of the election unfolded Tuesday night. Investors seem to be looking forward to the end of the political uncertainty. This week should see some pleasantly received positive gains for the market.
How much of a change to the market is to be expected? Only time will tell. But whatever the increase is, it is not expected to change the projected amount needed to bring the economy out of recession.
