The timeless saying that history repeats itself was repeatedly proven in the U.S. presidential elections. Trump has now been elected president for a second time. The question now is whether history will also repeat itself in the markets, just as it did after his election in 2016.
When Trump was elected eight years ago, the Dow Jones stock index rose by 5% in one month and 9% that year.
The United States was, however, in a slightly different position in November 2016. At that time, inflation and interest rates were near zero, and American companies were busy offshoring their supply chains to Asia. Now, the situation has changed. The COVID-19 pandemic, war conflicts, and tension in the U.S. labor market have undoubtedly altered the landscape. Interest rates and inflation are much higher, and Western companies are scrambling to regain control of their supply chains (onshoring) or relocate them to friendly nations (friend-shoring).
Spakur Invest has long had a strong faith in the U.S. economy, with 90% of its assets in listed stocks there and the fund settled in U.S. dollars. As mentioned earlier, history tends to repeat itself.
American bison in Grand Teton National Park in Wyoming.