ZKIN: Why The Stock Market Is Underperforming?

Why The Stock Market Is Underperforming?
Recently we have seen that the stock market has not performed very well. Some of these developments are not related to specific stocks or industries. Below I have pointed out some of them:
According to a FxStreet report the Biden administration’s proposes:
1. To raise the headline rate of corporate tax from 21% to 28%, which would be the largest increase since the 1950s.
2. It also plans to raise the rate of federal tax paid on long-term capital gains by high income individuals by nearly 20pp. That could weigh on equities.
3.Janet Yellen says that she's not predicting or recommending rates increase.
4.US President Joe Biden's overall program will make big difference to inequality.

As we can see, the whole stock market is suffering from these new policies and the current pandemic situation and I really hope that they will not add more pressure on the economy.


Trade with care!
Thank you

🛑Disclaimer🛑
The content of this analysis is subject to change at any time without notice. Trading leveraged products carry a high level of risk and may result in you losing substantially more than your initial investment. This is not financial advice.