Taking The Train To Georgia: Possible Changes To Tax Policy Worry Wall Street As Voters Head To Polls

Taking The Train To Georgia: Possible Changes To Tax Policy Worry Wall Street As Voters Head To Polls

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Key Takeaways:



Focus turns south as Georgia prepares to vote for Senate

Volatility swinging higher ahead of election and amid rising virus cases

Reopening stocks under scrutiny after a rough start to the new year



Two months after election day...it's election day.

Pre-voting jitters helped rough up Wall Street Monday ahead of Georgia Senate elections today that will determine control of Congress. Then the market wobbled overnight, trading both sides of unchanged. By morning, things looked neutral. Today could be one of those days where direction is hard to find as investors bide their time waiting for results from the Peach State.

This isn't a political column, but there's growing concern among investors that a Democratic victory might lead to corporate or capital gains taxes rising. Some analysts even think earnings estimates could take a hit if Democrats win, based on ideas that a higher corporate tax could crimp profits.



The market took a beating yesterday on this type of talk, combined with news out of the UK on lockdowns.  Although the lockdowns are very real, the tax talk is all extremely speculative.



Whoever wins,