Macro Minutes: How Will Global Elections Impact Markets?

In this Macro Minutes video, Fisher Investments’ Portfolio Engineer Austin Fraser examines the potential market impact and political risks for this year’s upcoming global elections. He discusses legislative gridlock in the United States, the political backdrop in Europe, and impact of possible leadership changes in various emerging markets countries.

Key Points

• While the upcoming US elections will be prominently featured in the news, the overall political risk in 2024 is expected to be minimal with politicians predominantly focusing on their electoral campaigns rather than passing new legislation.
• Like the US, Europe is experiencing a growing ideological divide, indicating that structural gridlock is on the rise. In our view, this lowers political risk for the region.
• In emerging markets countries, a busy election season likely results in the continuation of the status quo, though specific areas, such as Indonesia and Mexico, warrant further observation.