Kamala Harris Officially Replaces Biden as the Democrat Candidate for the Election Race

Academic FX
July 23, 2024

KEY TAKEAWAYS

Kamala Harris replaces Joe Biden as Democrat candidate in the election race
Markets have previously predicted a landslide victory for Donald Trump, with things now changing after the Sunday move
Analysts say potential interest rate cut in September to dominate markets despite election process and results

On Sunday, Biden exited the race after top Democrats had been pressuring him to withdraw following a poor debate performance and as Republican nominee Donald Trump maintained a lead in the polls. This move has provided a fighting chance for the Democratic Party, since before it, they were predicted to have a “landslide defeat”. Donald Trump no longer holds advantage that great, since removal of Biden from the race has brought many swing-votes back to the Democrats.

'Giving Democrats a Fighting Chance'

In order to secure the best possible victory, Democrats will most likely choose Kamala Harris, acting vice president. Endorsements for her presidential bid have already started, including president Biden,
ex-president Obama, Clinton family, and most of the Democratic Party. Media mostly prefers Harris for the presidential bid, as seen in the reactions all over social media.

Brandon Bell / Getty Images

However, for Democrats to capitalize on this move, there is a lot of ground to cover- swing states first and foremost. Trump was predicted with a landslide victory in November, alongside the Republicans, making it an easy “sweep”. Swing states are currently siding with Trump, especially after the assassination attempt. Harris would have a chance, unlike Biden, to win popularity amongst these less-decided votes, gaining advantage.

In any case, we can expect some market volatility over the next four months. For now, the anticipation of rate cuts will continue to be the primary driver of market returns, rather than the noise of the election campaign.

Tags :

AcademicFX, Biden, Elections 2024, Kamala Harris, Trump

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