Excerpt from Benzinga quoting DataTrek’s Nick Colas:
…. “DataTrek Research co-founder Nicholas Colas has been tracking the 2020 trading action and comparing it to the fall of 2008. For weeks, the 2020 market was trading in tandem with 2008, but it has broken out of that pattern in the last two weeks.
Colas said there are two reasons why the stocks are reacting differently to the current crisis than the one in 2020. First, Bernie Sanders dropping out of the presidential race has lowered the political risk of a major policy disruption in 2020. In the fall of 2020, the approach of the U.S. election was creating additional risk that a presidential transition would make policy decisions more difficult.
In addition to the political angle, Colas said the other major difference between 2008 and 2020 is an aggressive government stimulus”….
Read the full article here on Benzinga!