Australia Stocks Set to Rise No Matter Who Wins Election, History Suggests
Pedestrians are reflected in a window as they walk past an electronic stock board at the ASX Ltd. exchange centre in Sydney, Australia, on Thursday, Feb. 14, 2019. We made good progress on our core initiatives across the period, including the program to replace CHESS with distributed ledger technology; upgrade of our secondary data centre to strengthen market resilience; and restructure of our Listings Compliance team to enhance the quality of market oversight, ASX Chief Executive Officer Dominic Stevens said. Photographer: Bloomberg/Bloomberg
, Photographer: Bloomberg/Bloomberg
Jackie Edwards, Bloomberg News
(Bloomberg) --
Australia’s federal election on Saturday may bolster the nation’s shares regardless of who wins, if history is a guide. The S&P/ASX 200 Index has risen in the three months following eight of the last 10 votes, according to data compiled by Bloomberg. Average gains during the post-election period since 1993 was 2.4%. Even so, the potential for a hung parliament is a key risk this time around -- such an outcome could impede legislation or spur laws that are less market-friendly as the government may need to compromise with minor parties, Barclays Bank Plc economist Shreya Sodhani wrote in a note.
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