US stock futures and crude oil have reacted to Donald Trump’s and Kamala Harris’ latest debate.
Kamala Harris’s victory odds are rising
Futures linked to the Dow Jones index fell by 0.35%, while those linked to S&P 500 and Nasdaq 100 indexes declined by 0.40% ad 0.46%. The Dow Jones fell by 0.23% Tuesday, while the S&P 500 and Nasdaq 100 indices rose by 0.45% e 0.85% before the debate.
Crude oil on the other hand has stabilised, with Brent rising by 0.60%, to $69.6, and West Texas Intermediate (WTI), by 0.67%, to $66.20. Crude oil is still in a strong downward trend and is near its lowest point in more than 16 months. The two benchmarks are down over 25% since their highest point in this year.
As the debate continued, cryptocurrency prices were relatively muted. Ethereum dropped slightly to $2.347, while Bitcoin remained at $56,800. Binance Coin (BNB), and Solana Coin (SOL), respectively, dropped to $513 and $33. The total market capitalization of all cryptocurrencies fell by 0.9% to $1.09.
This performance is a good indication that Kamala Harris has won the debate with Donald Trump. This is what happened in crypto. The Kamala Horris token (KAMA) rose by 3.1%, to $0.0094. This gives it a market capitalization of over $9.3million. It has increased by over 10% in the past seven days.
As the debate continued, MAGA Hat dropped by 6.8%, while Doland Trump and Super Trump both fell by over 6%.
Harris’ odds of beating Trump on Polymarket improved. The website data shows that both candidates were tied at 4,9%. Trump had a larger margin than Harris before the debate (54% to 47%). The poll has assets worth over $859 millions.
A Polymarket poll of over $755k predicted that Harris was the favourite to win the debate, with a 54% probability.
Recent polls have shown that the presidential race is likely to be close. A closely watched New York Times and Sienna Poll showed that Trump had an one-point national lead while they were almost tied in most swing state.
Trump vs Harris: Economy
The cryptocurrency market has retreated as Donald Trump is the preferred candidate of the crypto community. In recent statements, Trump has sounded very supportive of the crypto-industry. He owns cryptocurrencies worth more than $5 million .
Harris, on the contrary, has little support. This is partly because she hasn’t expressed her support for the crypto industry, and rumours are that she will nominate Gary Gensler to be the Treasury Secretary. Gensler’s legislation is a major issue for crypto participants.
Crude oil has also stabilized due to her increasing odds. Trump has expressed his support for fossil fuels through his Drill, baby, drillpolicies. Harris and Biden, in reality, have been good for the fossil fuel industry, as energy prices remained high during their presidencies. Trump’s policies could lead to increased supply, which could hurt prices.
Trump and Harris both highlighted their economic plans. Trump has promised to impose substantial duties on countries such as China in an effort to reduce the trade deficit. He said this week that he will impose tariffs on nations that abandon the US Dollar.
Harris has promised to raise taxes on companies and combat price gouging by retailers, in particular.
Assets outlook following the election
In the long run, most assets will ignore the president. Cryptocurrencies, for example, have performed well during the Gary Gensler and Joe Biden era. Bitcoin, which was valued at $35,000 in the days before Biden’s inauguration, has now reached a new high of $73,800. Ethereum was trading at $1300, but moved to $4,000 earlier in the year.
This price action occurred even after Gary Gensler had sued many companies like OpenSea Coinbase and Kraken. Gensler has approved spot Bitcoin and Ethereum exchange-traded funds.
The most important thing to remember is that American stocks perform well no matter who is in charge of the White House. Under most presidents, top indices such as the Dow Jones, Nasdaq 100 and S&P 500 indexes have reached record highs.
It’s also worth noting the fact that most stocks, which are expected to rise or fall during a presidential term, don’t always perform according to expectations. Solar energy companies, for example, were expected to boom under Biden’s presidency, but have underperformed. Some have even declared bankruptcy.
VDE ETFs vs ICLN
ExxonMobil, Chevron and other crude oil companies have performed well under Biden. As shown in the chart above, the iShares global clean energy ETF has fallen by over 48% since Biden took office. Meanwhile, the Vanguard Energy ETF(VDE) has risen 160% during the same time period.
This post Crypto, stock Futures, Polymarket React to Trump and Kamala Debate may be modified as new developments unfold
