Politics and Markets: Preparing Your Portfolio

Politics and Markets: Preparing Your Portfolio

Assessment

Interactive Video

Business, Social Studies

University

Hard

Created by

Quizizz Content

FREE Resource

The video discusses the impact of election years on stock markets, highlighting typical patterns of volatility and fourth-quarter rallies. It examines the Federal Reserve's potential interest rate hikes, focusing on economic indicators like inflation and jobs data. The discussion also covers political gridlock's effect on markets, analyzing different political configurations. Finally, it explores momentum trading strategies, noting their performance and potential challenges in current market conditions.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is typically observed in the stock market during the summer before a presidential election?

A steady increase in stock prices

A lot of volatility

A significant decline in stock prices

No noticeable change

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

When is the Federal Reserve expected to consider a rate hike according to the discussion?

In the summer

Right before the election

In December

In September

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which political scenario is considered to have better than average market returns?

Democratic President and Split Congress

Republican President and Republican Congress

Democratic President and Democratic Congress

Republican President and Democratic Congress

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is a concern for trading strategies based on momentum reversals?

They are too complex to implement

They may not work during a market pullback

They are only effective in a bull market

They require constant monitoring

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the potential impact of a market pullback before a presidential election on trading strategies?

It would have no impact

It would lead to a market crash

It might disrupt overbought and oversold patterns

It could enhance the effectiveness of strategies