As a follow-up to a previous post, it was stated during the presidential campaign that your Savings Plans would suffer if Biden were elected. So far that’s horse hockey!!! Let’s look at some relevant numbers. Trumps average annual stock market returns over a 4 year period: Dow-Jones +12%; S & P 500 +9%; NASDAQ +25%. On the other side, Biden’s numbers (for 6 months): Dow-Jones +15%; S& P 500 +17%; NASDAQ +14%. So far we would favor the Biden results—especially with the predictions that the economy is poised to grow substantially this year. COVID impacted only the last year of the Trump dynasty but it has impacted all the Biden numbers. Comparing the growth of the Gross Domestic Product during the Trump years to the 2021 Biden forecast: Trump ushered in a 1%/year growth over 4 years; Biden’s first year has so far produced and average of 7.2% and that is the consensus opinion for the whole year. Trump had 3 non-COVID years to grow the economy but failed to even maintain the Obama years growth pattern. Another irony is that the largest companies seemed to gain much more under the Democratic administration than under 4 years of their favorite son. Why does no one notice that?
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