What we’re hearing: “Not getting the election results in a timely manner will be destabilizing,” Lou Brien, rates strategist at DRW Trading, tells Axios. “Especially in light of how divided the country appears to be now.”
“I think stock market moves will be violent intraday and the prevailing trend will likely be down, maybe sharply so.”
The Supreme Court nomination will compound the partisanship and division in the event of a contested election, analysts at TD Securities say in a recent not to clients.
That not only will increase volatility but also “reduces the likelihood of Congress passing a phase 4 stimulus” package, Priya Misra, TD’s head of global rates strategy, tells Axios.