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Long Term
The way I see the market going forward with a Clinton Presidency is the start of bear market at some point in the next year or so. But, I have a hard time factoring in corporate sales from overseas. Can our economy continue to stay flat or weaken, but the corporations still do well because of China and other countries? What if those emerging economies hit a bubble? I'd love to see some practical analysis of this.
Here in the U.S., it's hard to see how the middle class doesn't cut down on spending. The average home owner now has three mortgages, health care insurance, mortgage, and property taxes. My parents had one mortgage, their health care was covered by their employer, and for most of the years that they owned their home real estate taxes were dramatically lower than they are now.
Add to that the high cost of college education and student loans and the high cost of health care in general. Then you have the potential for amnesty for illegals, continued illegal immigration, which would create even more welfare payments and more stress on the economy, which equates to more demands on the American taxpayer. I don't see how the Americans can spend enough money to keep wall st. hopping.
So the question becomes, can overseas sales keep these corporations profits growing?
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