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From Wall Street to Chicago, markets will grind to halt on Thursday

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Once again, Shaw’s Tavern in Washington is opening early with the big show on Capitol Hill. Last time, it was actually James Comey. Now, it’s Brett Kavanaugh, nominee for your Top court, plus the woman who may have accused him of assaulting her if they were teenagers.

This time Shaw’s can give bottomless mimosas for $15 — last year it served a $10 “FBI sandwich.” Unseemly perhaps, given the delicate nature in the hearings and also the broader #metoo movement? Rob Heim, the typical manager, shrugs off such concerns. Since he sees it, he’s just providing a place for individuals to gather watching.

And watch, they are going to. Many Americans are one more time likely to halt their normal routines Thursday to witness precisely what is expected to often be a riveting spectacle involving Kavanaugh and his accuser, Christine Blasey Ford. Endless productivity is going to be lost, little doubt. Traders enlighten expect a sleepy day on Wall Street as they quite simply stay glued to televisions.

“Finance industry is usually checking Television screen and watching this reality TV show engage in, as an alternative to examining the monitors wondering in the event the euro can move higher and break out here,” said Michael Purves, chief global strategist at Weeden & Co.

Or as Steve Kalayjian, 55, chief market strategist and co-founder of Ticker Tocker, an investing platform, placed it: “The S&P futures trading could flatline,” he explained, extending his arm in the straight line because he hung out on a popular Chicago watering hole. “Only because everyone will probably be watching without working.”

March madness

Thursday will probably be “a lot like with March Madness,” said Mike Bailey, director of research at FBB Capital Partners in Bethesda, Maryland. He noted the planned meeting between President Donald Trump and Deputy Attorney General Rod Rosenstein on the day that. “So you’ll have a double whammy there regarding substantially more eyeballs on DC.”

This is actually all assuming, certainly, that lawmakers don’t generate a last-minute decision to carry the Kavanaugh hearing behind closed doors.

The higher level of interest can be seen in the ratings for Kavanaugh’s interview on Fox News on Monday night. Based on Nielsen, 3.Six million viewers watched, the main cable-news audience in the night plus a smash for any 7 pm slot.

Fed overshadowed

High-profile congressional hearings have drawn big TV audiences before. In 1991, over 20 million homes watched Anita Hill’s testimony before a Senate panel that Clarence Thomas had sexually harassed her. Some 40 million people tuned in see former Marine Corps Lieutenant Colonel Oliver North testify before Congress throughout the 1987 Iran-Contra hearings.

Mark Spindel, founder and chief investment officer of Potomac River Capital in Washington, said the hearings are likely to overshadow maybe the Federal Reserve’s rate of interest decision, expected Wednesday.

“The most boring event of every week now would be the Fed meeting,” he was quoted saying, adding: “Those folks in Washington are variety of glued to this particular types of political theater.”

While Spindel said the talk constituted “a horrible compilation of accusations,” he, like others, doesn’t foresee any market repercussions.

Market mischief

Not everyone, obviously, will probably be glued thus to their TVs. Jamie Lissette, a senior consultant for Hammerstone Markets, said he’s so sick of the political noise that he’s blocked tweets containing the text “rosenstein,” “kavanaugh” and “Brexit” from appearing his feed.

People like Mike Bailey visit a possibility for any hearing to inadvertently cause some market mischief. His theory: This marketplace generally is in a quiet period now, lacking earnings news or major economic data. With many eyeballs on Washington, any sort of news affecting an agency where sentiment is dicey could produce some volatility if liquidity dries up, he said. As examples, he pointed to Facebook and Whirlpool.?

Kirsten Wegner, founder on the Modern Markets Initiative, an advocacy group for high-speed traders, said she’s closely tracking developments inside Kavanaugh case.


The matter has proven particularly attention-grabbing, she added, because she and friends have children of their particular growing up from the same DC metro area.

“We’re questioning whether this particular situation continues to be happening over these schools,” Wegner added. “And whether everything has actually changed or whether we’re during era of Anita Hill. It can do strike near home.”

One place where it’s more likely business as always: the last Court, which whether it follows its typical practices will issue a summary of new cases Thursday morning at 9:30, or with regards to a 30 minute prior to a Kavanaugh hearing is about to start with. The eight current justices met privately earlier this week to share which cases to improve their docket. Their term formally opens on Monday.

? 2018 Bloomberg L.P?

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