MLD Market Update – November 2024

Join Chad Larson, Senior Portfolio Manager, as he gives his thoughts November’s U.S. Election and market implications.

November’s Money Matters: U.S. Election Special

00:00:00 – Introduction and Election Results
00:01:30 – Impact of Trump’s Presidency on Markets
00:03:40 – Executive Orders and Environmental Policies
00:05:50 – Tariffs and Trade Considerations
00:08:00 – Debt Ceiling and Fiscal Challenges
00:10:10 – Market Reactions and Economic Outlook
00:12:30 – Oil Prices and Energy Sector Implications
00:14:40 – Positioning Strategies and Market Valuations
00:16:50 – Healthcare Policies and RFK’s Role
00:18:30 – Immigration Policies and Historical Context
00:20:40 – Conclusion and Closing Remarks

In this special episode of November’s Money Matters, I, Chad Larson from MLD Wealth, delve into the significant implications of the recent U.S. election results. After staying up late to witness the unfolding political drama, I share my insights on the election outcome, which has resulted in Donald Trump being re-elected as the 47th president of the United States, alongside a Republican-controlled Senate and a potentially Republican-led House of Representatives.

I emphasize that while politics may not directly move markets, policy certainly does. With Trump returning to the presidency, we can expect a swift implementation of his agenda, leveraging his previous experience and a Republican-dominated Supreme Court. I discuss the anticipated executive actions he is likely to take, including rolling back environmental policies, expediting energy production, and reducing regulatory burdens across various sectors.

The episode also covers the potential economic impacts of Trump’s presidency, including the likelihood of tax cuts, infrastructure spending, and changes to trade policies. I highlight the importance of monitoring key regulatory agency appointments and the implications of tariffs, particularly concerning trade relations with Canada, Mexico, and China.

As I unpack the potential challenges ahead, I address the upcoming debt ceiling crisis and the risks associated with high debt levels. I note that while Trump’s administration may have opportunities to advance its agenda, the financial outlook remains precarious, especially with the looming threat of credit downgrades.

Throughout the episode, I provide a balanced view of the market’s initial reaction to the election results, noting the surge in U.S. equity futures and the strengthening of the U.S. dollar. I also discuss the implications for Canadian markets, emphasizing the interconnectedness of the U.S. and Canadian economies.

In closing, I reflect on the mixed bag of outcomes for Canada, the potential for increased trade uncertainty, and the need for a shift in government to navigate these challenges effectively. I encourage listeners to stay informed and engaged as we move forward in this evolving economic landscape.

Thank you for tuning in, and as always, I appreciate your trust and support. If you have any questions or would like to discuss these topics further, feel free to reach out. Stay safe, and I look forward to connecting with you throughout the month!