A survey conducted by RBC Capital Markets analysts indicates that a sweeping victory by the Republican Party, led by Donald Trump, in the upcoming election is perceived to be the most advantageous outcome for the U.S. stock market. The energy and financial sectors are expected to benefit the most from such a result.
According to RBC's U.S. analysts, Trump's triumph on November 5th, coupled with Republicans securing majorities in both the Senate and House of Representatives, represents the best scenario for the stock market. A divided Congress with bipartisan control may also have a slightly positive impact on the market.
Conversely, the analysts view a decisive victory by the Democratic Party, led by Kamala Harris, as the most pessimistic outcome for the stock market. However, the survey reveals that opinions on all potential election outcomes are only marginally inclined in any direction. The strategists highlight the difficulty in accurately assessing the potential impact of proposed policies.
With just over a month remaining until the election, the tight race between the candidates has made the potential impact of their respective policy proposals a central focus for Wall Street.
