{"id":1485891,"date":"2024-08-25T19:45:00","date_gmt":"2024-08-25T23:45:00","guid":{"rendered":"https:\/\/bugaluu.com\/news\/?p=1485891"},"modified":"2024-08-25T19:45:00","modified_gmt":"2024-08-25T23:45:00","slug":"does-it-matter-to-the-market-who-wins-the-white-house","status":"publish","type":"post","link":"https:\/\/bugaluu.com\/news\/does-it-matter-to-the-market-who-wins-the-white-house\/1485891\/","title":{"rendered":"Does It Matter To The Market Who Wins The White House?"},"content":{"rendered":"

Does It Matter To The Market Who Wins The White House?<\/span><\/p>\n

\n

During election years, the focus is on the\u00a0political horse race<\/a>.<\/p>\n

However, after the final poll closes, how have the market and the economy performed under both\u00a0Democrat and Republican\u00a0presidents?<\/strong><\/p>\n

In this graphic, Visual Capitalist<\/a> partnered with\u00a0New York Life Investments<\/a>\u00a0to explore stock market performance, consumer outcomes, and corporate sentiment across each presidential party.<\/p>\n

<\/a><\/p>\n

Democrats vs. Republicans: Stock Market Performance<\/h2>\n

History shows that the S&P 500 does not favor a clear \u201cwinner\u201d when it comes to the political party of sitting presidents.\u00a0<\/p>\n

The mean compounded average annual growth rate (CAGR) with Democratic presidents is slightly higher than with Republican presidents. Median performance, however, is higher under Republican presidents.<\/p>\n

<\/a><\/p>\n

To date, former President Clinton (D) (+15.2% CAGR<\/strong>) and\u00a0former President Trump<\/a>\u00a0(R) (+14.1% CAGR<\/strong>) have seen the largest stock market gains among past presidents on record.<\/p>\n

Democrats vs. Republicans: Consumer Outcomes<\/h2>\n

Like the S&P 500\u2019s performance, presidential leadership has not been a key factor in determining the\u00a0inflation rate\u00a0<\/a>and unemployment rate in the U.S. since the late-1940s.\u00a0<\/p>\n

The sum of the nation\u2019s inflation rate and unemployment rate together provide a measure of consumer \u201cpain\u201d in the economy.<\/p>\n

<\/a><\/p>\n

The average sum with a Democratic president over the last 70+ years is\u00a0+9.0%<\/strong>\u00a0versus\u00a0+9.5%<\/strong>\u00a0for Republicans.<\/p>\n

Democrats vs. Republicans: Corporate Sentiment<\/h2>\n

As with their consumer-related counterparts, corporate sentiment has also remained consistent regardless of the presidential party, on average.<\/p>\n

The Purchasing Managers\u2019 Index (PMI) provides a measure of business sentiment in the economy. A score of below 50 represents deteriorating sentiment and a score of above 50 means sentiment is improving.<\/p>\n

<\/a><\/p>\n

The average PMI under Republican presidents since 2000 is\u00a054.3<\/strong>\u00a0versus\u00a054.9<\/strong>\u00a0for Democrats\u2014nearly identical and both in expansion terrain.<\/p>\n

Informed Investing<\/h2>\n

Looking at past presidents, both Democrat and Republican, there have been roughly consistent market and economic track records. This highlights the importance of looking beyond the political noise and maintaining a diversified portfolio.<\/p>\n<\/div>\n

Tyler Durden<\/a><\/span>
\nSun, 08\/25\/2024 – 15:45<\/span><\/p>\n

\u200bhttps:\/\/www.zerohedge.com\/markets\/does-it-matter-market-who-wins-white-house<\/a>\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"

Does It Matter To The Market Who Wins The White House? During election years, the focus is on the\u00a0political horse race. However, after the final…<\/p>\n","protected":false},"author":0,"featured_media":1485892,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1485891","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","wpcat-1-id"],"_links":{"self":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1485891","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/comments?post=1485891"}],"version-history":[{"count":0,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1485891\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media\/1485892"}],"wp:attachment":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media?parent=1485891"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/categories?post=1485891"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/tags?post=1485891"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}