JP Morgan: 25% market drop if there’s a Blue Wave …

I don’t provide investment advice, but I do pass along interesting tidbits..

Here’s one hot off the presses: JP Morgan advised clients of likely market reactions to possible election results.

image

In a nutshell:

> Market up 15% if Trump wins and the GOP retains the Senate

> Market down 25% if Biden wins and the Dems take the Senate

> Market up 7% if there’s a split decision: Trump, but a Dem Senate … or, Biden and a GOP Senate.

Betting markets have the odds of a Blue Wave at about 55-45.

In a previous post, we channeled a B of A analysis concluding that a Blue Wave would be good for the market.

Draw your own conclusion.

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