 Good morning ladies and gentlemen and welcome to your daily news update from the Frankfurt office of CMC markets now ahead of the U.S. elections the volatility has been going up strongly the SAP 500 has its longest losing streak since the year 1980 and There are a lot of other signs obviously that traders and investors have taken some money off of the table and off an out-of-risk Actually, the Italian and German bond yield deltas have gone to their highest level this year If you look at the fang stocks that is Facebook, Amazon Netflix and Google their market capitalization has gone down a hundred billion dollars in that sell-off in that selling streak on on Wall Street And if you look at empirical data you find out that actually If the markets are going down ahead of the elections the Candidate of the other party so that is Donald Trump is getting a lift from that is profiting from weaker stocks But if you look ahead If you look ahead of that smoke screen actually media is planting into Yeah, this is trying to communicate that an election would be bad No matter what or no matter who will be elected both candidates actually are willing and have been Repeatedly saying that they want to start infrastructure Programs so that fits into the picture of what the G20 Ministers recently said in China when they met in China in late Summer they said that they need or everybody needs the world needs to have Coordinated fiscal response to that weakness in growth and that fiscal response could be infrastructure investments And they also said that there need to be investments in health care And if you look at how the health care sector has fared Within that election Then we know that health care stocks dropped by 2030 some even 40% because of that election campaign rhetoric between Clinton and Donald Trump so we know that Trump actually wants to wants to scrap Obamacare Clinton wants to leave it but not as is she wants to change Some parts of Obamacare so there's a lot of Uncertainty about the final outcome for the health care sector and so stocks are really gone down 40% So this sector is clearly the punching ball within that election campaign But if we know who will be The next president of the United States might be that there is some relief rally in that sector because we all So know that there need to be a lot of investments in health care a lot of investments on top of that in infrastructure now if you look at the Possibilities and as a trader you need to prepare for different scenarios that might be an outcome of it The the best outcome would be that actually There is a clear election result so either it's Trump or Clinton Obviously markets are more inclined to say okay if Clinton wins the election then it's a better for volatility in this better for Might be a relief rally coming on the other hand if Trump is going to be elected We know that stocks have gone down meaningfully by now and so the the the initial reaction might be negative, but There might also come a relief rally because markets exchange uncertainty With the certainty of who will be the president of the United States So both outcomes might serve to to dampen volatility and give a trend back to the markets But what would be really negative would be a a similar outcome of like What we had in year 2000 between George W. Bush and Al Gore That was an unclear election Count We took in the year 2000 took until mid-December until we knew that George W. Bush Obviously made it to the White House and that would be a negative for the markets. They would be like Yeah, in the in that indecisive situation Would be until mid-December that would be really bad and let's hope that this is not going to come Back in the 2000 there was recount over recount and the S&P 500 finally dropped by 8.4% back then so let's see what will be the outcome I'll be back tomorrow with another news update ahead of the elections