German Election Results Likely Mean Social Democrat-Led Coalition

Former German minister of Finance Olaf Scholz is likely to be the next German Chancellor after this year’s election in Germany, marking an end to Angela Merkel’s 16 year run as Chancellor. Scholz and his party, the center-left Social Democrats (S.P.D.), emerged victorious in the Sep. 26 election, winning 25.7% of the total vote, compared to 24.1% for Merkel’s party, the conservative Christian Democratic Union (C.D.U.), which suffered the worst defeat for the party since its founding in the years after World War II. Merkel, however, opted not to run for reelection, marking the first time a sitting chancellor has done so in the postwar era.

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Investors and the Election

Who would’ve guessed elections are great for the market? The S&P 500 has had its best week since April. At the time of writing, Biden has been declared President-elect, and it looks likely that Republicans will hold the Senate. However, the major equity indexes rose sharply on Wednesday and Thursday despite the outcome still being a toss-up. Doesn’t uncertainty translate to volatility in the markets?

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This Season’s Biggest Trend: Voting

At its core, fashion is a form of self-expression. During the campaigning season of the 2020 election, many Americans have let fashion choices express their political stances. From sporting apparel, masks, T-shirts, totes, and accessories: every article of clothing worn by these political fashionistas incorporated the importance of voting in their outfit of the day. The propaganda must have worked looking at the quantity of this year’s voter turnouts.

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