What topics should I bring up if an interviewer asks the question: What do you think is going on in the market, or where do you think the market is heading to?
I have been reading WSJ and Bloomberg, and the only thing they talk about is Trump election and its impact on the market. I want to talk about this, but what if the interviewer is a Hillary supporter? What other market-related topics should I bring up?
If there is a 400 lb gay gorilla in a leotard locked in the room and eyeing you hungrily, you can’t dance around that. The election result is the most significant current event and is impossible to ignore.
Of course you don’t want to be so simplistic as to say something like “market going to go up because Trump”, because that makes you sound shallow. However, the real effect is that different market sectors have responded in positive or negative ways, based on Trump’s priorities, and will continue to react as his policies unfold.
Financials, for instance are up about 10% on average since the election result. Whether they continue to go up is dependent on Republicans’ ability to overhaul agencies like the CFPB or CFTC, or to repeal regulations like certain Dodd Frank provisions. You do not know what will happen (no one does). But you should be versed in the upcoming decisions and potential events that could influence asset prices.
Similar analyses can be made on other market sectors - energy, pharmaceuticals, infrastructure, or even international assets like emerging market stocks or currencies. How did these respond to the election and what upcoming announcements will affect these asset prices?
Thank you so much. That was so helpful!
The election result is the dominating headline but I don’t think that means it is necessary for that to be the basis of your comment. Just like Brexit, there are too many moving parts and too much uncertainty. If I had a candidate start prognosticating over, not only, policy choices but also the market’s reaction to those future policies, I wouldn’t be impressed. In any case, it’s usually best to avoid politics.
When I am prompted to talk about the market I usually pitch a stock that’s in the industry I work in.