Wall Street was fine with a Donald Trump presidency. Turns out it’s good with a Joe Biden presidency, too.
Investors learned to ignore Donald Trump’s erratic tweets over the last four years and focus on deregulation and tax cuts. And now that his presidency is coming to an end, Wall Street appears to be putting on blinders yet again and brushing off the president’s flailing attempts to cast doubt on the election outcome and stay in power.
The market was good with Trump entering the White House four years ago. It’s good with him leaving it four years later, too.
For years, Trump has taken credit for the stock market’s performance — at least when it’s up. In the lead-up to the 2020 election, he consistently claimed that if he were to lose, stocks would plunge. “If I don’t win, you’re going to see a crash like you’ve never seen before,” he told business leaders in February. Vote for him, he said, or 401(k)s were “down the tubes,” would “disintegrate and disappear,” could be kissed goodbye.
But this week has been a decent one for 401(k)s. Stocks were up Wednesday and Thursday as a Biden victory grew nearer. They dipped slightly Friday, but indexes were mainly flat as investors also digested the October jobs report and the ongoing global pandemic. Wall Street is on track for its best week since April.