New Report: Wall Street Thinks a Warren Presidency Could Be Catastrophic
Investors at a major bank that Sen. Elizabeth Warren once criticized are worried about how sweeping economic changes that she’s vowed to implement if she becomes president could affect their bottom line.
Mother Jones reported on Friday that the research arm of Barclays, a powerful London-based bank and financial services firm, circulated five reports late last year for paying clients, including hedge funds, commercial banks and insurance companies, about what the tumultuous Democratic primary could mean for the markets.
“Given Senator Elizabeth Warren’s (D-MA) policies that she asserts are ‘big structural’ change and ‘economic patriotism,’ her quantifiably more liberal voting record, and her steady rise in the polls and betting markets, investors and corporates across asset classes and geographies have taken note and posed questions,” the first report said, according to Mother Jones.
Barclays analyzed nearly 50 of Warren’s various plans in October and November — shortly after she surged in national polls — and echoed Warren’s own stance that a victory by the Massachusetts senator would be bad news for large corporations and financial titans. . .
Still, the report pointed out that a victory by Warren, or fellow progressive Vermont Sen. Bernie Sanders, would present opportunities for certain sectors and consumers. For instance, if she successfully broke up big banks, it could benefit smaller regional banks that have taken a beating from increasing consolidation. Plus, her call to hike the minimum wage could boost retailers and auto dealers, as working-class Americans have more money to spend. (Read more from “New Report: Wall Street Thinks a Warren Presidency Could Be Catastrophic” HERE)
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