In three days from now, Barack Obama will be inaugurated as the 44th president of the USA. The new American administration will definitely make a big change in economic policy and will also affect Forex Trading.
Obama’s election, after almost two years of campaigning, was a historic one: he’s the first black president. Obama’s victory on November 4th, was a landslide victory that inspired a hope for change almost everywhere on the planet.
Yes We Can revive the economy?
Obama receives an economy in a bad situation: Unemployment Rate at 7.2%, a recession since December 2007, the worst holiday shopping season ever, and whole world undergoing crisis.
He proposes more bailout plans for financial institutes, but also tax cuts. He has already presented his team, which began working before the inauguration.
In his first 100 hours in office, Obama will most likely deal with the war in Gaza, providing it won’t be over. He is also expected to address a major issue in his campaign – health insurance. But the first 100 days will mostly concentrate on the US economy.
But the economy won’t be neglected, and his multi trillion stimulus plans will start moving.
Inauguration Speech and Forex Trading
In addition, Forex trading isn’t affected solely by plans, but also by rhetoric. Based on Obama’s public performances, he’s likely to make inspiring statements for Americans. This inspiration will first affect the stock market, which is expected to welcome Obama with a rally.
But not only the stock market will rally – the US dollar might also make gains and go up due to this new optimism.
For all you into Forex trading – listen carefully to Obama’s inauguration speech. This will shake the greenback.