The Commercial Real Estate Alpha Site

Presidential elections typically cast a shadow of uncertainty across markets as investors attempt to weigh the various changes and policy revisions as a result of a changing regime. The giant X-factor heading into November is undoubtedly President Trump’s plans to  dramatically increase tariffs. In a speech last week billed as a major economic address the former President pledged new tariffs “10 to 20 percent tariffs on countries” if he were to be elected into office. 

A drumbeat of reports suggest that Trump’s tariff policies could substantially slow economic growth while driving up consumer prices. Using history as a guide, businesses usually pass on the bulk of the cost to consumers by raising prices which could exaggerate an already precarious inflationary environment. Opinions on the direction of the market are built on top of large mosaics of differentiated forces – as we move into the fall we can only expect that elections will be one of the biggest topics of interest for investors attempting to create a picture of a more perfect future.