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History Offers an Ominous Warning Following President-Elect Donald Trump's Victory -- and the Stock Market May Pay the Price


Published on 2024-12-08 06:41:03 - The Motley Fool
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  • The famed " Buffett Indicator " is pushing boundaries, too. The valuation tool Warren Buffett praised earlier this century, which divides the market value of all public companies into U.S. gross domestic product, hit a record high of 208% last week. For context, it's averaged closer to 85% since 1970.

The article from The Motley Fool discusses the potential economic implications of a Donald Trump victory in the 2024 U.S. presidential election, drawing parallels to historical precedents. It highlights concerns about Trump's proposed policies, such as significant tax cuts for individuals and corporations, which could lead to increased budget deficits and potentially higher inflation. The piece references the economic conditions during Trump's previous term, noting the tax cuts of 2017 that contributed to a ballooning national debt. It also mentions the possibility of trade wars, particularly with China, which could disrupt global trade and negatively impact economic growth. The article suggests that while some investors might benefit from lower taxes, the broader economic environment could face challenges like rising interest rates and market volatility, drawing caution from historical economic cycles and policy impacts.

Read the Full The Motley Fool Article at:
[ https://www.fool.com/investing/2024/12/08/history-offer-ominous-warning-donald-trump-victory/ ]
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