Just like in 2008, the market reacted negatively when Obama won. Today, the market tanked 300 points the day after the election. Here we go again! Another 4 more years of bullshit recovery!
(CNBC)Investors cast their own vote on the presidential race Wednesday, and the result was a landslide rout that could have lasting repercussions beyond Tuesday's results.
The market plunge was on pace for the fifth-worst day-after-election drop since 1900. The worst, a 5 percent slide, came in 2008, after voters awarded Obama his first term in office, according to Bespoke Investment Group.
How far and how long the downward momentum will last is uncertain, but the early signs aren't good. Immediate post-election declines have historically preceded another 1.7 percent drop in the market by the end of the year.
Heading into 2013, Obama faces a historical trend that indicates the first year of a presidential cycle also is not usually positive for the market.
The average market gain for the post-election year is just 1.7 percent, with negative results 24 times against 20 positives.
"The stock market will suffer over the 12-month period, which always happens the year after an election," said Len Tannanbaum, CEO of Fifth Street Finance in New York.
Theories abounded on why the market tumbled. They ranged from worries over the "fiscal cliff" of tax increases and spending cuts, as well as troubles in Europe, a slowdown in the U.S. and questions over the efficiency and effects of Federal Reserve policy.