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Text丨Guo Xiaoxing Editor丨Du Hai

Source: Zhengjingshe (ID: zhengjingshe)

(This article is about 1,400 words)

The latest news shows that Trump, who suffered an "unsuccessful assassination attempt", is in stable condition and has been discharged from the hospital. The gunman who was shot dead was a 20-year-old white male named Thomas Matthew Crooks, a local resident of Pennsylvania and a Republican.Rather than the Chinese who were previously suspected to be the New York Post who spread the rumor for the first time.

As details continue to leak out, not only the direction of the US election and the series of chain reactions it may trigger have attracted worldwide attention, but also the impact on the A-share market, especially the reaction of the "election concept stocks" tomorrow, has also caused some waves among some investors and even people with ulterior motives.

On social media, after a brief period of worry that "A-shares will be hit again on Monday",“Election Concept Stocks”started to be mentioned frequently.First, Sichuan University Zhisheng was ridiculously ridiculed as having several daily limits.The reason is that Trump will surely have good fortune in the future if he survives a disaster, and his sympathy points will greatly increase his chances of winning the election.

Analysts from Zhengjingshe noted that this drama can be traced back to 2008.At that time, Obama and McCain on the other side of the ocean were fighting fiercely for the election of the US president, while Aucma and Kane shares in our A-share market seemed to be hit by the wings of a distant butterfly and showed obvious abnormal movements. Aucma even hit three consecutive daily limit increases from October 17 to 22 before the US election.

Eight years later, in 2016, when Trump and Hillary faced off, Xiyi Co., Ltd., which mainly deals in auto parts, also inexplicably became a "election concept stock." After Trump unexpectedly won the election, Sichuan University Zhisheng went straight to the daily limit, just because among Chinese netizens, Trump is often called "Trump" or "Chuan Jianguo."

What is particularly absurd is that just because its name sounds similar to Trump’s daughter Ivanka Trump’s, Vanke A was also pulled out of the daily limit.

In 2020, after Biden became a candidate, Dengyun Shares, a little-known company in the A-share market, was also pushed into the "election concept stock" camp by those with ulterior motives.

Analysts at Zhengjingshe believe that these stocks are obviously not related to the US presidential candidates.No matter how ridiculous and absurd the hype is, no matter how many daily limits are reached, the initiator is not someone who has too much money to put and is just doing it for fun, but more for profit. The stick of the "pass the parcel" game will soon fall into the hands of the receiver. The reward for this unlucky person or the unlucky person is either to stand guard at a high position or to be cut by the leeks.

Interestingly, in June, UBS also released a list of "Biden re-election concept stocks" and "Trump complete victory concept stocks."However, this list, which is based on an interpretation of the policies and impacts during Trump and Biden's respective terms and the fundamentals of related companies, is obviously much more logical.

Among them, the stocks that may benefit from Trump's victory are:

Banks and consumer finance companies that benefit from the relaxation of Wall Street's capital liquidity rules: JPMorgan Chase (JPM), Bank of America (BAC), Wells Fargo (WFC), KeyCorp (KEY), Synchrony Financial (SYF), Discovery Financial (DFS);

There are also financial institutions that benefit from reduced M&A review activity: Goldman Sachs (GS), Morgan Stanley (MS), Evercore (EVR), Lazard (LAZ);

Natural gas producers that benefited from deregulation: Cheniere Energy (LNG), ExxonMobil (XOM), ConocoPhillips (COP);

Insurance companies that provide broader health insurance coverage: UnitedHealth Group (UNH), Humana (HUM);

Pharmaceutical companies facing reduced risk of “centralized procurement and price reduction”: Eli Lilly (LLY), Merck (MRK);

Semiconductor manufacturers, automakers, and steelmakers that benefit from Trump's trade protection policies: Intel (INTC), Texas Instruments (TXN), Applied Materials (AMAT), KLA Corporation (KLAC), Ford (F), General Motors (GM), Nucor (NUE), Steel Dynamics (STLD);

At the same time, some analysts believe that since Trump has repeatedly expressed his attention to Bitcoin and other digital assets, cryptocurrency stocks are also likely to become beneficiaries of Trump's victory, including Coinbase (COIN.US), Marathon Digital (MARA.US), Riot Platforms (RIOT.US), CleanSpark (CLSK.US) and MicroStrategy (MSTR.US).

Stocks that could benefit from a Biden reelection are:

Electrical component and power grid companies based on electrification policies: Eaton (ETN), Quanta Services (PWR);

Clean hydrogen production facility companies: Air Products (APD);

Energy efficiency product manufacturers: Johnson Controls (JCI), Ingersoll Rand (TT);

Waste management companies that benefited from renewable infrastructure and gas investment projects: Republic Services (RSG), Waste Management (WM);

Solar energy, electric vehicles and charging infrastructure manufacturers: Tesla (TSLA), First Solar (FSLR), NextEra Energy (NEE), Sunrun (RUN). [Produced by Zhengjingshe]

Editor-in-charge | Tang Weiping · Editor | Du Hai · Bai Jin · Editorial | An An · Proofreading | Ran Ran

Disclaimer: The views in this article are for reference only and should not be used as investment advice. Investment is risky and you should be cautious when entering the market.

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