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Here’s what stock-market investors still needs to price in as Trump returns to White House - MarketWatch

1. Trump's economic policies are uncertain, impacting market valuations. 2. Tariffs could raise costs for companies, affecting inflation and interest rates. 3. Deregulation may boost financial and energy sectors, enhancing profit margins. 4. Tax cuts are anticipated to spur domestic growth but take time to affect. 5. Investors are cautious and bracing for volatility following the inauguration.

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FAQ

Why Neutral?

Trump's policies introduce uncertainty that could stabilize or destabilize markets. Historic volatility during policy changes, like tariff introductions, influences the market's reaction.

How important is it?

Trump's second term and potential policy shifts hold significant economic implications, likely impacting DJIA.

Why Short Term?

Investors will closely monitor Trump's immediate policies post-inauguration for potential reactions. Short-term volatility may occur until policies are clarified.

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