Piper Sandler analysts have identified significant risks to financial markets from the potential re-election of either President Joe Biden or former President Donald Trump. Biden, facing internal pressure to step aside, has seen his nomination odds fall from 86% to 61% due to a poor debate performance.
The firm suggests a mainstream governor from middle America as a preferable Democratic candidate over Gavin Newsom. Meanwhile, Trump’s restrained debate performance is overshadowed by his propensity for misleading statements. The firm concludes that both candidates pose unprecedented risks to market stability and governance.
