Categorized | Random Rants

“Risk Off” After the US Elections

Posted on 08 November 2012 by Andrei

After all the excitement and promises from both competitors, reality is rearing its ugly head again, as voters of both parties realize that the world’s problems can’t be fixed with just words. As domainers, it’s important to pay attention to how the economy is performing and after the elections, people are once again realizing that the worldwide economy (especially Europe) has seen better days.

The S&P 500 is down, the EUR/USD exchange rate is down (whenever there are periods of financial insecurity, people turn to the dollar as opposed to stocks or other currencies due to its safe haven status in the investment world) fueled by the fact that the German economy is weakening (after all, we can’t expect one country to support the entire European Union) and all in all, bearishness is in the air at the end of 2012.

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