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Forget Santa - How 'Bout An Obama Rally?
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Forget Santa the guy who could bring a rally to Wall Street is Barack Obama.
“I’m very excited about the Obama inauguration and I think there will be an uplift into that for stocks, bonds and gold,” says Emily Sanders, of Sanders Financial Management.
In other words she expects a global rally ahead of the inauguration.
“It’s psychological. Although the economy will probably get worse before it gets better a new leader will create hopefulness.”
Barack Obama takes the oath of office on Thursday January 20th. Although he doesn’t officially have power to stimulate the economy until then, the President-elect is already getting his ducks in a row.
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Late word Friday suggests the incoming administration is nearing an agreement with congressional Democrats on a huge emergency spending bill intended to jolt the weak U.S. economy and create 3 million jobs over two years, Vice President-elect Joe Biden said.
On Wall Street that translates into "Obama is going to spend, spend, spend." And that could spark a surge in stocks.
Fast Money’s Jeff Macke is a little less – shall we say – optimistic. “I don’t want to be all Grninchy,” he says – but until the government let’s the markets correct themselves we’re still in for a bumpy ride. "The rules keep changing and things can't get better until that stops."
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CNBC.com with wires
Data is a real-time snapshot *Data is delayed at least 15 minutes
