Democrats Retain Presidency, Retake Congress in 2016 Landslide.

In 2016, the Republican primaries descend into chaos after the party’s voters narrowly manage to nominate another weak, centrist candidate after the long self-destructive process of the nomination process. Donald Trump goes down in flames, taking the Republican Party with him and leaving its voters demoralized with their weak options in the presidential and congressional elections.

In Congress, the Republican Party goes from strength to dramatic weakness as the rifts from its civil war on its future direction play out over the next four years. This leads to a landslide victory for the Democratic Party as the Democrats successfully execute a successful get-out the- vote campaign.

That campaign gains traction among the US’ now largest generation: the younger, more

diverse, more liberal, overeducated and underemployed Millennials, who come out to vote in droves in favor of the Democratic ticket as they have been frustrated by the political stalemate and weak job prospects of the last eight years.

In the wake of the election, the fear of a left-leaning new Democratic government free of

Republican obstructionism sees risky assets and the USD taking a dive initially. But as 2016 draws to a close, sentiment changes dramatically and asset markets and the greenback rally steeply again on the realization that a rare political majority in the US can ram through fresh fiscal stimulus that boosts US growth:

Source: https://www.tradingfloor.com/publications/outrageous-predictions      

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