I'm starting to think about the effect of a Trump win on 8th November. It's fair to say Clinton is more a continuation of current policy whereas Trump is a wildcard potentially heralding big changes to US fiscal/monetary/foreign policy. But even what those changes might be are uncertain.

Given the huge uncertainty, does anyone have any suggestion of hedging/insurance trades you are making over the US election?

Would be keen to know what you are doing and why.

Personally i'm thinking about a guaranteed stop short on the US indexes 7th November. My reasoning being that a Trump win would bring huge uncertainty and markets don't like uncertainty - couple with the fact that interest rates rising under Trump may be viewed as more likely than Clinton. Higher interest rates i believe would be negative for current elevated market levels.

Unlock the rest of this article with a 14 day trial

Already have an account?
Login here