It was an unpredictable year in politics and markets. The world saw some things it had never witnessed before. Here’s a list of three of the most powerful events of 2016.
- Americans are done with the “establishment.” This was the greatest lesson of 2016, and it showed through in both parties. You could see the beginnings of discontent in 2008 with the election of “change” candidate, Barack Obama on the left, and the insurgent but ultimately failed campaign of Ron Paul on the right. But in 2016 the revolt against the establishment was full blown. Hillary Clinton by all accounts was a shoe-in for the Democratic nomination, but outsider socialist candidate Bernie Sanders gave Clinton serious competition. On the right, Donald Trump defied every expectation, beating over a dozen better prepared, more experienced establishment GOP candidates, and ultimately defeating the uber-establishment candidate, Hillary Clinton, to win the White House.
- Europeans are also done with the “establishment.” The Brexit vote, surprised markets and pundits of all stripes, but was fairly predictable if you were paying attention to the people on the ground. The Brits have had enough of the growth-killing, sovereignty-threatening edicts coming out of Brussels, and they showed their discontent with a vote to leave the EU.
- South America is a political Crazy Train: Maybe this isn’t new knowledge, but the impeachment of Dilma Rousseff, the prosecution of Cristina Fernandez de Kirchner, and the near chaos in the cities of Venezuela today showed the world that the southern hemisphere of the Americas is an unpredictable and volatile place. Keep an eye to the South in 2017 for further developments. The Venezuelan crisis is set to play out, things could become unstable in Cuba with the death of Fidel Castro, and new political tensions in once stable Colombia create potential volatility in the region.
This list is by no means exhaustive, but come back to Richardcyoung.com regularly (and sign up for the free weekly email) to keep up on the most important events happening in politics and markets.