Mitt Romneys French Brother Loses Election

[rsmith6621]

...in FRANCE so I wonder how the European markets and US markets will react in the morning... up or down.

Bye Bye Sarkozy....

[aquart]

1. Down in Asia. I expect a financial day of mourning.

[unblock]

2. the markets often react to political news incorrectly

for the most part, financial news, the markets know how to react to.
(macro-)economic news, a little less so.

but political news? the markets often make a knee-jerk political reaction -- if investors don't like the news, they sell, even if the consequences are actually good for the markets.

in this case, i can see selling some shares of the banks holding debt in the more economically dubious european nations, but otherwise, the increased likelihood of growth measures means big business opportunities and increased sales for many other companies.

even if the only major effect is inflation (which is the right-wing fear), that only makes equities more attractive, at least relative to bonds.