Posted By:
CoreyRS.hanusDan,
"...Obama has said that the tax increase on the wealthiest Americans may have to be put off until the ship is righted."
That helps little. Economic decisions about what risk to take and capital to invest are based on projections of future after-tax income streams. So if a person sees a tax increase as imminent within the next few years, that will depress economic activity NOW.
Scott/Jim,
I believe you're quite correct that the market is anticipating an Obama victory and reacting accordingly. I remember vividly in the summer of 1980 when the market began its bull run the pundits commenting that it was anticipating a Reagan victory.