Hirsch: Now's the time for the market to react to election news

Jeffrey Hirsch, editor of the Stock Trader's Almanac, says the stock market's seemingly ho-hum reaction to election news has been because the result remains a toss-up, but now that the conventions have passed and the election process is entering the home stretch, he expects a more significant response as market forces decide what kind of impact to expect from either an incumbent victory or a regime change. He notes that the market generally responds positively to a re-election and struggles more when an incumbent is defeated. Also on the show, Jerremy Newsome of  Real Life Trading says the market is headed for trouble ahead -- a decline of 8 to 10 percent -- because it has overheated and become too optimistic. Still, after that kind of pullback, he expects the market to resume its climb and says 20 percent higher a year from now would not be surprising at all. Larry Swedroe, author of 'The Incredible Shrinking Alpha: How to be a Successful Investor Without Picking Winners" discusses his book and Matt Zajechowski of Digital Third Coast talks about how travelers are changing their habits now in order to get back on the road even as the pandemic drags on.