At the moment, President Trump could win a second term, according to the S&P 500.
In fact, history says the incumbent has the advantage when the market rallies in the months leading up to the big day. Going back to 1928, incumbent presidents have won 90% of elections when the S&P 500 is positive in the previous three months, as reported by The Wall Street Journal.
“If investors think the incumbent will win, they anticipate less policy change and are therefore less likely to shift their portfolios ahead of an election,” added Shawn Snyder, the head of investment strategy at Citi Personal Wealth Management.
Some of the top sectors to pay attention to on another Trump victory include 5G, infrastructure, defense, and technology stocks.
In fact, over the last several months, under the Trump Administration, tech stocks have been some of the most explosive, which sent the NASDAQ well above 10,000 this year. We could see even more upside, as tech continues to dominate the market from here. Keep a close eye on Apple (AAPL), Advanced Micro Devices (AMD), Facebook (FB), Amazon (AMZN), and Qualcomm (QCOM).