News

What’s Behind Today’s Sudden Selloff: The Answer Lies In Georgia

There has been some confusion about the catalyst behind this morning’s sudden market selloff which followed promptly after the S&P hit a fresh all time high.

While there has been no single, definitive news catalyst, the answer for the risk weakness is to be found in Georgia, which goes to the polls in special run-off elections for its U.S. Senate seats. As a reminder, if Democrats win both, then the Senate will be split 50-50, and they will control it thanks to the vice president’s casting vote.

So why is Georgia suddenly a concern?

As Bloomberg’s John Authers explains overnight, while there have been few polls over the last two months, and with so much depending on getting people out to vote in the middle of winter during a pandemic, much must be left to conjecture, “but the prices on the Predictit prediction market show it is close.”

MORE

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s