Stock market and General Election

ericthekidstoner

does anyone has experience and/or knowledge on the history of the stock market when a general election is called?

any trends?

equitydealer

Normally little impact in the UK. Conservatives are normally seen as pro-business but with 'New' Labour being centre ground there is little difference between the two parties and thus the impact on the UK markets is minimal. A hung parliament would probably be the worst case scenario for the markets though.

The more significant impact is the US elections. Republicans are seen as pro-business (e.g. less regulation and laws restricting oil companies, no pollution restrictions etc.) and if they win there is typically a stock market bounce which reflects over here.

purch

The markets don't like uncertainty.

In the UK there is unlikely to be any uncertainty over the result so they won't be too worried.