The United States is predictably experiencing a decline in investments as capital providers remain cautious in anticipation of the US presidential election. Ahead of this major event, they are shying away from granting substantial funding to the country, bracing for a new rally in the financial markets.
Such market phenomena come as no surprise to experts. Despite the capital outflow and unpredictable politics, the United States is still the most advanced economy. The government institutions in developed countries are strong enough and they always try to mitigate the impact of political turmoil on their economy. Otherwise, it would be difficult to ensure honesty and transparency of the same presidential election, for example. That is why, on the eve of this important date for the country and the whole world, investment in the US has hit its lowest level. The Chicago Board Options Exchange's volatility index reflects that the US presidential election has been an extremely dangerous moment for the nation since 2004. So it is logical that investors refrain from pumping money into the American economy.
Nevertheless, the US economy still has every chance to revive its growth over time. As soon as the internal political confrontation is over, the authorities are likely to make every effort to overcome the crisis again.
