Is a Republican Congress Good for Stocks?
Most experts believe the Republicans will at least gain control of the House of Representatives on this coming election day. Some believe the GOP might even take control of the Senate. We wanted to test your opinion to see what our readers think the repercussions might be for stocks. Is a Republican victory good for stocks?The movement of the Dow since late August seems to say it is. The stock market has always favored Republicans, or so it seems anyway. After all, they are tax friendly and pro-business, but after all that has occurred under Republican rule, is the President right in pleading with Americans not to put the bad drivers back behind the wheel? If the economy fell into such mess under Republican rule and the treasury budget deficit grew into a monstrous state, then perhaps old rules no longer apply? I believe the market will reward Republican victory, if it has not already, and will penalize a Democratic Party win. But we want to know what you think.
Is a Republican Congressional Victory Good for the Stock Market Anymore?
DEBATE TOPIC ARCHIVE
(Relevant Tickers: NYSE: PIZ, NYSE: PIE, NYSE: PDP, NYSE: DIA, NYSE: SPY, NYSE: NYX, NYSE: DOG, NYSE: SDS, NYSE: QLD, NYSE: IWM, NYSE: TWM, NYSE: IWD, NYSE: SDK, NYSE: ICE, Nasdaq: QQQQ, Nasdaq: HTOAX, Nasdaq: HTOTX, Nasdaq: HTOBX, Nasdaq: JTCIX, Nasdaq: JTCNX, Nasdaq: JTCAX, Nasdaq: QQQQ, NYSE: GS, NYSE: MS, NYSE: BAC, NYSE: JEF, NYSE: C, NYSE: JPM, NYSE: DB, NYSE: CS, NYSE: STD, NYSE: MGH, Nasdaq: TROW)
Please see our disclosures at the Wall Street Greek website and author bio pages found there. This article and website in no way offers or represents financial or investment advice. Information is provided for entertainment purposes only.
Labels: Debate Topics, Politics
posted by The Greek | 6:00 PM
9 Comments:
Republican have become the party of fabricate fictions and see who salutes them.
Where did the Republicans get us with 8 years of Bush?
The US Era (from the end of WWII to now) is over. We had all the advantages and produced huge wealth and a technological revolution that has benefitted the world immeasurably and blew it.
Self destructed due to bullshit from the party of sacrifice everything for me, now, and screw the future, these are Republicans.
If they are still good for the stock market it is only because greed still is the mantra for the GOP. It ain't Grand no more.
My esteemed Greek, I'm a fan and respect your liberal POV, but take exception to statements that don't include all the facts. In your latest column which requests feedback on a potential change in politcal direction, you, in part, state that...
"If the economy fell into such mess under Republican rule..."
A correction in your emphasis is warrented: Given that the current consensus is the single biggest catalyst of the economic downturn was the housing crisis (READ: sub-prime loans)you should re-examine the genesis of that event. You'd find that the facts show the lead for loosening mortgage regulations to allow sub-prime lending on little or no documentation requirements AND the related "stated income" refinance abuse came from the Dems under the forceful watch of Barney Frank and company at Fanny & Freddy. Arguably the GOP should have done more to stop that action, but clearly they did not initiate it. Fast forward to the present: Rather than take the Tarp money and use it to try and soften the crash of the housing market through real estate loan mods the Dems gave the money to the very institutions that were complicit in creating the crisis--and they in turn have exacerbated the problem by sitting on all that cash. Again, I respect your support of liberal ideals, I happen to agree with many of them myself. However, it's time we all look for the door that says "NO SPIN ZONE" and work our way out of this mess. Perhaps it will open bright and early on November 3rd. As Benjamin Franklin said: "We must all hang together, or assuredly we shall all hang separately". BTW: Franklin had no Political Party affiliation--is there a lesson in that?
Anonymous Follower,
Wow, it finally happened. I, a life long Republican - recently saved Independent, have been called a "Liberal!"
I love being pigeon-holed as much as a sharp stick to the eye, but it brings a smile to my face nonetheless. That's because while I agree with some positions of both parties, neither seems to fit me perfectly today. So, I find it funny when party partisans see me as the enemy, just based on one viewpoint. Yes, I have leaned to the left a little lately, but it's only a lean. Where will you find a Democrat who is pro-life?
I will never trade values or my views in order to fit into some mold or to be liked. We should all stand for what we believe in, AND EVERYTHING WE BELIEVE IN, and to heck with political correctness and party lines.
I think Estate Taxes should be eased permanently, so how's that? It seems criminal to charge the families of people who worked all their lives to build wealth, a death tax of 55%. You would not expect that statement from a Liberal would you? I think it should be reduced permanently, but tiered as wealth levels rise. There should not be one threshold point where you pay 55%. I know a guy who will have to get a mortgage to keep his family's only real asset from falling to auction, a $3 million property currently owned outright that they live in here in Manhattan (and rent apartments from).
That's just wrong. The legacies we create are earned, and our families deserve to benefit far more than the government does. The government taxes us all our lives; it's an insult to tax us at our death as well, when we leave our property to family anyhow. I say let them decide where their money goes, but less and less as wealth levels increase. That view fits no party, but in between. And what Liberal would say that?
But I also believe taxes on high earners should be returned to normal. What Republican would say that!!!? I'm a true independent thinker my friend, and proud of it. Once again I seek a different solution though than the black and white options being offered from Congressional partisans.
The $250K income threshold is too simple. Small businessmen need a break, and I think the tax should apply to earners of $1 million or more, and let the guys making $250K to $1 million keep growing their businesses. What Democrat is saying that today?
Yet, I will likely vote mostly Democrat in this coming election. I like the humane and good intentions of people who sought to make mortgage loans easier for regular people to get. They did not sanction liar loans though! I agree with Chairman Bernanke's initiative to make contracts easier to understand for the "little man" like me. I think the Republican Party needs to be forced to reform some of its extreme views that no longer fit the whole of America, and then maybe I can be won back. The GOP has not learned its lesson yet, but it would if it continued to suffer on election day.
Or, perhaps Democrats who care about the poor might consider God's laws, and how passive allowance or turning the eye serves to assist sin, and can serve to harm "the little ones". Find me a Democrat these days who will say that? You cannot pigeon hole me!!!
(continued next)
(continued)
What happened at Standard & Poor's and the other rating agencies that get paid by the folks they rate; and with regard to mortgage backed securities, disregarded the possibility of real estate value decline, was not the Democratic Party's fault, nor the Republicans. It was simply negligence in my view, and I still believe those operations should be taken out of the hands of the private institutions whose pockets get full and vision gets blurred. But while they're paying tax income to important states during economic trough, and while we are able to keep control of sovereign ratings as is, seems we are making a dirty trade. Who says that but me!!!
Independent thinking needs to make a return; the sheep need to think like dogs instead. I mean to care for themselves and for their own. No dog follows another unless the top dog has earned it, and he challenges his leader when he disagrees nonetheless. And we do so with respect for one another.
God Bless America, where someone can be Republican or Democrat or somewhere in between.
Am I not right? Shouldn't we be electing the folks who think outside the political party box? Aren't those the people who will become true representatives of their constituents (even on the other side of the line)?
Ahhhh.....my memory is a tad different.
It seems to me that the Dems gained congress in 2006. The economy was pretty good then. Things have only deteriorated since the Dems controlled congress.
We kicked the Repubics out of the WH, but if we are going to play the game of blaming the economy on the pols in charge, shouldn't the Dem congress get their share, too?
Anonymous (of slanted memory):
Come on! That's like blaming the heroes of UA Flight 93 for the crash in Pennsylvania. What about the hijackers!!!?
My esteemed Greek, this is Anonymous #1--not that other impostor. First, let me say that it's not my intention to "pigeon hole" you as a liberal. But, as you stated in your response to my comments, you have been leaning to the left quite a bit lately.
Your statement about the GOP being responsible for "this mess" and a few other comments you've made in the past months certainly sound like liberal rhetoric. Perhaps it's only through the words chosen and not your true feelings.
For the record, I'm not a party partisan. On the contrary, I find both parties equally corrupt. Each ignore the views of the majority of Americans on the critical issues of spending, taxes and job protection (READ: allowing jobs to be exported). In these areas they both are dysfunctional as a result of their conflicting ideological beliefs and often time focus on lessor issues that represent the minority interests of their parties.
What I do believe in strongly are the words in the Declaration of Independence, particularly the phrase that guarantees us "...life, liberty and the pursuit of happiness...". The operative word being "pursuit". Those that crafted this document were far wiser than those in power who purport to defend those rights.
The intent was not guarantee any of us success or to protect us if we failed. But to provide us the opportunity to try. But look what's happened to this simple, yet magnificent concept: If we succeed there's this belief that the government should intervene and redistribute the wealth. If we fail, then the government should protect us. Neither instance supports the cause of freedom--either way it's intervention.
The progressive tax structure was a major move in the decline of freedom. The Welfare State, with its myriad of Entitlements, does little to encourage one to "try" to succeed. It's family, friends, neighborhoods, cities, counties, states, regions and country--a collection of individuals, not government--that provide the opportunity for individuals to try.
Many argue that government programs have actually held people down and that the money has been squandered. That may be true. It wouldn't be the first time that noble deeds produced unintended consequences.
Having grown up in the town where the first shot for freedom "...was heard 'round the world" I appreciate the true cost and meaning of freedom. My concern, like many other Americans on this election day, is that we are far less free today then we were in the summer of 1776.
Its our own fault for not paying attention while the political "machine" (READ: special interests and career politicians)have gradually robbed us of our freedom.
Correcting that is going to be a long and arduous process. If we don't start to reverse the process now it won't be long before we go the way of other failed nations.
The point of this discourse was to answer your question which was: "Is a Republican Congress Good for Stocks?" I submit that there's a bigger question that trumps the question on stocks.
Does any "party" have the vision and resolve to restore our freedoms?
Today, we all have an opportunity to begin taking back those freedoms by sending a clear message to the political machines. And the infamous line from Howard Beale (Peter Finch) in the film Network is this revolution's battle cry: "I'm mad as hell and I'm not going to take this anymore!"
Vote for "Change", and this time we really want to see it!
Thank you for that well articulated statement. There's not much I can add. I only hope some positive change comes from the change in color in the House. Perhaps its best neither party control the entire government for too long anyway, because as you say, corruption is widespread. Indeed, power corrupts. I think we need creative minds to develop new ideas, and I'm working on one myself. God help us survive this economic tailspin I see swaying us wildly around and out of control.
Post a Comment
<< Home