It’s not a shocker that defense stocks would be doing so well under a Republican POTUS, but why are energy, utilities and real estate doing so poorly – PB/TK
Prison And Missile Stocks Soar, Guns Slump Under Trump Administration – By Alex Kotch / July 19 2017
Since Donald Trump won the 2016 election, the stock market has undergone an extraordinary boom. But the market’s winners and losers haven’t been entirely predictable. The new president filled his cabinet with conservatives interested in lowering taxes, slashing regulations and boosting law enforcement and border security — raising expectations that fossil fuel corporations, financial firms, private prison companies and other businesses would see major gains.
“The irony of this is, some sectors that people generally thought would benefit the most from the Trump presidency are actually negative,” John Stoltzfus, chief investment strategist at Oppenheimer Asset Management, told International Business Times. “But in other cases, where sectors were supposed to be disfavored, they’re doing terrific.”
Stock prices in industries including defense, technology, finance and health care are up, while others such as telecom and energy are down. Real estate and utilities have underperformed the market as a whole.
The economy has grown relatively slowly since the election. Economists expect second-quarter growth to be around 2 percent, an average figure in the country’s economic recovery, and jobs are growing modestly each month. Wage growth continues its slow, upward crawl.
Continue to ibtimes.com article: http://www.ibtimes.com/political-capital/prison-missile-stocks-soar-guns-slump-under-trump-administration-2567974
