How the US election may impact your portfolio​

Watch this video for a discussion on the 2024 US election with Peter Garnry, Head of the SaxoStrats, and host John J. Hardy. Together, they analyse potential market scenarios linked to who will be victorious in the US election in November, offering insights on investment strategies and sector impacts. This episode equips investors with knowledge to navigate the election's influence on global financial markets.

Welcome to the Saxo 2024 election hub for exclusive content about this year’s US presidential election. At Saxo we are always fascinated by how politics may affect the global financial markets.

As we get closer to this historic election day, we will continue to add podcasts, articles, and videos here. So, be sure to bookmark this page to get continued access to special insights and commentary on what will surely be an unprecedented political event- and how it could potentially affect your investing and trading decisions.

Which sectors will be affected by the election

Different sectors can see a positive impact depending on whether Donald J. Trump or Joe Biden wins the upcoming US presidential election. Based on historic and initial observations, below are overarching sectors to watch based on each candidate:

Sectors benefitting from a Biden presidency:

  • Clean energy
  • Infrastructure
  • Financials and semiconductors

    Sectors benefitting from a Trump presidency:

    • European defence
    • US real estate
    • US small caps

    Market news

    US Election

    01 /

    • Post-Debate Analysis: Impact on Chinese Equities and the Yuan

      Macro

      Post-Debate Analysis: Impact on Chinese Equities and the Yuan

      Redmond Wong

      Chief China Strategist

    • 2024 US Election: Shaking Up Chinese Equities and the Renminbi?

      Macro

      2024 US Election: Shaking Up Chinese Equities and the Renminbi?

      Redmond Wong

      Chief China Strategist

      The article examines Trump's threatened tariffs on Chinese exports and their impact on investors, hi...
    • What to track as the US presidential election nears

      US Election 2024

      What to track as the US presidential election nears

      Saxo

    • Markets could start to price in a Trump presidency

      Macro

      Markets could start to price in a Trump presidency

      Charu Chanana

      Head of FX Strategy

      Risks of a Trump presidency could start to be considered by markets following his victory in New Ham...

    How are different asset classes impacted by the US Election? 

    Asset classes can be impacted by the news leading up to, and the results of, the US Election. Below are key aspects to be aware of when trading different asset classes during a US Election.

    Forex (FX)
    US elections could sway forex markets, with potential shifts in trade policies influencing currency strengths broadly across regions. 

    Commodities
    Anticipate changes in the bonds market as election outcomes may alter inflation expectations and fiscal policies, impacting yields and term premiums. 

    Bonds
    Election results might reshape commodity markets, with trade policies and geopolitical shifts possibly affecting global supply and demand dynamics. 

    What you should know

    US elections and markets

    01 /

    • Potential impact of the US election on financial asset classes

      US Election

      Potential impact of the US election on financial asset classes

      Saxo

    • Trump vs Biden: How either presidency will affect US sectors

      US Election

      Trump vs Biden: How either presidency will affect US sectors

      Peter Garnry

      Chief Investment Strategist

    • How the US election may impact your portfolio

      US Election

      How the US election may impact your portfolio

      Saxo

      In this special edition of the Saxo Market Call podcast, as Peter Garnry, Head of SaxoStrats and Equ...
    • The Road to the White House A US 2024 Election Timeline

      US Election

      The Road to the White House A US 2024 Election Timeline

      Saxo

      In November, the U.S. presidential election will engage global investors. We've created an overview ...
    • US Election

      The connection between US elections and market performance

      Peter Garnry

      Chief Investment Strategist

    Five ways to manage risk ahead of the US Election

    As with all major political or macroeconomic events, it is important to manage your investment risk in the lead up to the U.S. election. By adjusting your portfolio, you can mitigate potential risks arising from the election results. Here are five considerations on how to manage your investments as the political landscape evolves:

    • Consider how your portfolio is positioned relative to sectors and regions that may be affected by either party’s victory.
    • Use options to hedge against or speculate on election results.
    • Review how commodities may be influenced by policies and adjust if necessary.
    • Think about currencies, especially those sensitive to US policy changes and consider whether your exposure is aligned with the expected political outcome from whoever you believe will win.
    • In terms of doubt, consider diversifying your portfolio, e.g., using ETFs that focus on sectors that are more or less likely to be impacted by the election outcomes depending on your desired positioning.

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    Use Saxo to position your portfolio for the election today​

    This collection of articles explores the connection between US elections and the movements of the stock market, providing key insights into how the outcomes of presidential elections in the United States can affect financial markets. It explains the important role political changes play in shaping investment approaches and market trends.

    By highlighting the mutual impact of government policies and economic results, the content is crafted to help investors grasp essential ideas that link stock market variations to US election cycles. These articles prepare investors to anticipate and respond to the possible effects of election outcomes on market stability and the success of their investments.

    Our aim is to do more than just observe—we want to equip investors with the knowledge they need to navigate the financial markets during election periods. Understanding how investment strategies and US election results can be intertwined is crucial for anyone wanting to make well-informed decisions in a constantly changing economic environment.

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