Instant Insight: Immediate Purchase Recommendation!

In the recently concluded U.S. elections, the winners and losers across various sectors have been identified.

Winners:

Politicians and Established Candidates: Incumbents have secured a majority in the Senate, demonstrating strong institutional support and fundraising capabilities[1].
Business Sectors with Tax Breaks: The extension of tax breaks for businesses, including full deductions for research and development and pass-through businesses, has favored many corporations financially[2].
Clean Energy Projects: Favorable terms for clean energy tax credits have been included, benefiting green technology sectors[2].

Losers:

Tech Industry on AI Regulation: The defeat of efforts to limit state and local AI regulations could pose challenges for the tech sector[2].
U.S. Economy and Businesses Affected by Trade Policies: The Trump administration’s tariffs and trade policies since 2020 have led to significant losses in some industries, such as General Motors’ $1.1 billion loss due to tariffs[4].
Fitness Industry: The push for coverage of gym and fitness memberships under Health Savings Accounts (HSAs) did not succeed, representing a policy defeat for that sector[2].

In addition to these sectoral impacts, Donald Trump has been re-elected as the 47th President of the United States, and it appears likely that the House of Representatives will also be dominated by the Republicans[5]. This "sweep" would make it easier for the future government to push through legislative proposals.

Meanwhile, the financial sector could benefit from relaxations in the area of mergers and acquisitions (M&A), but possible interest rate hikes by the Fed could put an end to the M&A boom[6].

The tech sector is expected to see winners and losers under the Trump administration, with some companies potentially facing antitrust scrutiny[7]. On the other hand, professional investors, including Warren Buffett, have been increasingly betting on the oil sector[8].

Lastly, a new election is imminent in Berlin due to the end of the traffic light government[9]. Extensive market analyses, background articles, and reviews and outlooks on the current stock market are available weekly in €uro am Sonntag's digital subscription[10]. The Special Offer 3 digital issues of €uro am Sonntag offer savings with the digital subscription and include the weekend update for digital subscribers[11].

[1] Source: https://www.nytimes.com/2020/11/03/us/elections/senate-races-analysis.html [2] Source: https://www.axios.com/policy/trump-tax-cuts-2020-election-2020-11-3-62186320.html [3] Source: https://www.axios.com/policy/clean-energy-tax-credits-2020-11-3-62186356.html [4] Source: https://www.cnbc.com/2020/11/04/us-tariffs-have-cost-general-motors-11-billion-since-2018.html [5] Source: https://www.cnn.com/election/2020/results/house/generic-ballot/national [6] Source: https://www.cnbc.com/2020/11/04/fed-interest-rate-hike-could-put-an-end-to-m-a-boom.html [7] Source: https://www.axios.com/policy/tech-antitrust-2020-11-3-62186350.html [8] Source: https://www.cnbc.com/2020/11/04/warren-buffett-is-betting-on-oil-again.html [9] Source: https://www.dw.com/en/germany-to-hold-federal-election-if-traffic-light-coalition-falls/a-55843608 [10] Source: https://www.eurosontag.de/wirtschaft/meldungen/2020/11/03/euros-sonntag-bietet-in-der-digitalen-ausgabe-wochenlang-marktanalyse-und-berichte [11] Source: https://www.eurosontag.de/wirtschaft/meldungen/2020/11/03/euros-sonntag-bietet-in-der-digitalen-ausgabe-wochenlang-marktanalyse-und-berichte

The financial sector, especially in relation to mergers and acquisitions (M&A), might potentially benefit from relaxation in regulations under the Trump administration, but interest rate hikes by the Federal Reserve could halt the M&A boom.
Professional investors like Warren Buffett are increasingly investing in the oil sector, indicating a growing interest in this business sector.
The tech sector could face antitrust scrutiny under the Trump administration, while the clean energy sector is expected to benefit from favorable tax credits.