Why Yield Curve Matters in U.S. Presidential Election

The transcript discusses the potential market reactions to the 2016 U.S. presidential election outcomes, focusing on short-term and long-term implications for bond yields and the yield curve. It explores how a Clinton or Trump victory might affect fiscal policy, Federal Reserve actions, and tax reforms. The discussion includes divergent views on yield changes and considers investment strategies based on these political scenarios.

What are the expected short-term and long-term effects on the yield curve based on a Clinton or Trump victory?

How might Congress influence the implementation of tax policies proposed by either candidate?

What factors could lead to a divergence in predictions for the 10-year yield based on the election outcome?

Discuss the implications of corporate tax reform on the 10-year yield.

What are the potential impacts on municipal bonds if Hillary Clinton or Donald Trump wins the election?