Mid-term elections in the US have never been an important event for the country’s economy. This time it is different.
– According to polls, the total balance of profits and losses is beneficial for Democrats, which may block the next actions of Donald Trump – comments on Money.pl Piotr Jaromin, an analyst at XTB.
Trump’s presidency and its reforms arouse a lot of controversy on the international arena, but also inside the country. However, there are many indications that the next two years of his rule will be marked by even more intense political struggle. Democrats will now be able to block his planned reforms. The ideas for the president’s economy were also put under a huge question mark. Some even suggest that the central bank will not dare to raise interest rates.
The market reacts
Interestingly, the well-known election results have positively impacted Wall Street quotes. The main indices have gone up by more than 2 percent. Although such movements may cause pity on the faces of cryptocurrency investors, this is a rare result on the “normal” stock exchange. This type of reaction has not been recorded by the market after the elections since 1982!
In the context of Trump’s image, he is also surprised by his reaction to the election results. The president admitted that he was ready to cooperate with the Democrats. However, the majority obtained by his opponents in the Chamber gives them full freedom and strong weapon in the fight against the current White House tenant. It would be naïve to think that they will not want to use it …
The current market behavior on the one hand may be surprising, on the other it shows that the market is largely behind Democrats or – in other words – is against Trump’s actions.
The current defeat of the Republicans is interesting in that you can write it in the trend (for the time being shy) of voters’ departure from the right side of the political scene. Many Polish observers believed that the success of Andrzej Duda in the presidential election was a certain prelude to the victory of Donald Trump. Although it may seem exaggerated, the results of the recent local government elections in Poland are certainly not entirely satisfactory for the right-wing party.
What does this have to do with Blockchain?
It turns out that the US elections were also beneficial for Augur – a blockchain prediction platform. Many market observers have already been propelling her early collapse due to the outflow of users. However, the salvation came from people interested in the result of the election.
The market that exists on Augur, “Which party will rule after the US elections in 2018?” Was worth 3,517 ethers (almost $ 727,000), thus breaking the plant record “Will the Ethereum price exceed $ 500 by the end of 2018?”, who was a leader on the platform for many months.
66% of respondents made the success of Democrats.