The Coming Meltdown?

When it comes to the stock market, New York attitudes carry a lot more weight than those from elsewhere around the country.  That's not surprising since New York is the financial capital of the USA.  Still, the parochial attitudes of Wall Street traders may become a major problem for these stock market soon.  As of now, it appears that Bernie Sanders' chances of getting the Democrat nomination are on the distinct upswing.  Elizabeth Warren and Pete Buttigieg are sagging in the recent polls; Biden seems stuck in position and only Sanders is moving up among the four leaders.  So what does this have to do with New York attitudes?  The answer is that in and around New York City, there are many, many people who are certain that President Trump just won't be re-elected.  Even those who do think Trump will win or who support him don't say much in New York City.  The oppressive left wing culture is just too much in New York for many to take it on.  It's like Hollywood, San Francisco or Cambridge, Massachusetts, a center of the left wing bubble.  That means that many more people in New York think that Bernie Sanders could actually win a national race against the President.

Think about that.  If you invest in the stock market and America's large companies, what would be the inevitable result of a Sanders' victory?  We could start with a much, much higher taxes, a recession and then a depression.  Stocks would be perhaps the worst place to have investments.  So as Sanders looks like a truly possible (if not probable) Democrat nominee, what would a prudent investor do?  Many will think (correctly) that Sanders has essentially no chance of winning.  In New York, however, many will not be so sanguine.  People will start dumping stocks and that will tank the market.  We could see a stock market meltdown for no reason other than fear of what a Sanders' presidency would bring.