Wikileaks and Comey have turned up the heat on Hillary dramatically, so perhaps we should all be short the Mexican peso? It’s impossible to know how a Trump victory, or even a perceived shortening of his election odds in the days ahead, will affect U.S. markets. My guess is that as Assange, the Russians and the FBI continue to bear down on the Clintons, the uncertainties this will bring to political calculations will overwhelm investors’ ability to discount them. However, if it is also true that the stock market abhors nothing so much as uncertainty, we might expect shares to come under increasing pressure that is unlikely to relent come November 9. Even if Hillary were to win, it is hard to imagine her many friends on Wall Street breathing a collective sigh of relief, since the new president would be under a legal cloud unprecedented in the history of the Republic.
