Stocks got an early boost because of investor optimism from election returns yesterday. There was a change of leadership in the Senate with Republicans taking a firm majority. They now control both the House and Senate. There is a feeling that partisan gridlock might melt away, but the fact is, it is not likely with a Democratic President and his veto power. The dollar is soaring in international markets while precious metals are getting trampled. Oil is recovering slightly but negative momentum still seems high. Saudi Arabia seems bent on driving the price of oil so low that it can erase the advantage that US shale oil producers hold, and reestablishing its domination of oil. All in all most data is positive and, while there is much to digest, investors are likely to keep the rally going.
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