U.S. stock markets reacted to the U.S. presidential election with a steep sell-off

 

U.S. stock markets reacted to the U.S. presidential election with a steep sell-off as all 3 major U.S. stock indices shed more than 2% on the day. The DJIA cut more than 300 points to end Wednesday’s session below 13,000. Needless to say, gold was well supported and closed yesterday’s session at $1714 and is modestly higher in early trading this morning. However, according to some, this reaction is not all that uncommon following presidential elections. The question is, where do we go from here? With a virtual mirror image of the previous governing body of the U.S. of A, some are skeptical as to whether progress will be made this time around or whether it will be more of the same shenanigans. One thing remains clear, the fiscal cliff is fast approaching and whether we end up the Road Runner or Wile E. Cayote will depend in large part on the ability of both sides of the isle to extend the Olive Branch… with sincerity. Weekly jobless claims here in the U.S.  shrunk to 355,000 last week but many are expecting a revision next week as a large swath of the Northeast continues to recover from a one-two punch from mother nature. In Europe, Greece moved one step closer to securing the bailout funds needed to stave-off financial collapse. The country’s ability to pass steep austerity measures has eased concerns, for now, of a “Grexit” from the EU. Have a great day!