mask US Election - What you need to know

07/ 11/ 2016

US Election - What you need to know

3 Scenarios

Scenario #1 -Trump becomes President, Clinton accepts defeat

The greatest impact out of all 3 scenarios will be if trump wins and Clinton accepts defeat. If this happens US will have a man with untested political skills and unknown policies in office. The most triumphing currencies will be Euro, Swiss franc and Japanese yen. US dollar will plummet with a loss of confidence in currency bringing down Mexican peso and fairly affecting CAD currency too.

Scenario #2 -Clinton becomes President, Trump accepts defeat

The greatest relief in the mindset of investors will be if Clinton wins and I quote "if trump willingly accepts defeat" Definitely we have seen plenty of her mishaps in most authorized position but with transparency of her policies and continuous stability of US will exert an enormous spike in USD.

Causing all rival currencies to react and pressured for negative trend. But the far most currencies which will be affected will be Japanese yen, Swiss franc and to some degree Euro. But for this to happen she should win by a huge margin and trump should accept defeat which doesn't look like reality. 

Scenario #3 -Trump/Clinton becomes President by narrow margin.  Loser refuses to accept defeat

This scenario is the most likely one. If any one of them wins by a very narrow margin and the loser refuses to accept defeat, Which will have a significant uncertainty in the investors mind  would be extremely negative for US dollar especially post of elections not only in currency but commodity, equities and assets.Along with analysts confirming that there is a 76% chance for rate hike in December.

If you watch closely Euro was under negative pressure since Clintons FBI Case has been closed giving a verdict that she is under no criminal offence on any of her email scandals. USD & Oil Prices strengthened right off once this statement was released.