Wall Street Week: Rocky Inaugural trading action dead ahead

January trading action to get ugly this white-knuckle trading week as Soros-funded “anarchists” threaten to trash peaceful transfer of Presidential power.

In this relatively vintage 2001 photo, we see the crazy corkscrew turn in the "Raptor," one of many famous roller coasters at Ohio's Cedar Point amusement part on the shores of Lake Erie. Paying customers love this kind of treacherous, looping ride. But not so much traders and investors who are enduring another corkscrew in recent trading action. (Image via Wikipedia)

WASHINGTON, January 16, 2016 – Today, Martin Luther King Day, is a national holiday, so the wizards, warlocks and witches of Wall Street are silent until the trading bell rings Tuesday morning. But European and other world exchanges are open for business today and looking unhappy, with all that continent’s exchanges pinned in the red zone, thought not badly.

Thoughts across the pond are likely fixated not only to this week’s change of power in Washington, but also on the potential effects of the impending Brexit as the U.K. government puts a final effort into its notification and exit plan from the EU.

Making things more fun: Almost-president The Donald wants to follow the return of Winston Churchill’s bust to the White House after its stupid forced exile from the waning Obama White House; then, shortly thereafter, have a powwow with Great Britain’s current government about maybe starting to hatch some sort of U.S.-U.K.-Anglosphere trade deal.

Trump is seen throughout most European capitals as something of a loose cannon, which, in fact, he pretty much is. That’s a problem for the Euros because they prefer their currently sclerotic socialist status quo to an environment where anything might actually happen, which is why the incoming U.S. Chief Exec has them guzzling Maalox, or whatever the Euro-elite call that stuff over there.

Their more immediate concern, of course, is the closer-to-home Brexit situation. But, between Trump, the Brexit, and the brewing potential for more populist revolts in Italy, The Netherlands and perhaps even in Germany has all the usual political hacks and clueless globalists in a real snit.

All this may seem a long way from January 20 over here, but it’s all of a piece. The powers that currently be have sneered at much of their various electorates over the years. But those electorates, quietly watching their lives go down the drain forever, finally got torqued off enough to step up and do something about it. Taking enormous courage from the Brexit and, more lately, from the absolutely impossible accession of an actual businessman to the White House, the “deplorables” in more and more European countries and even elsewhere may be encouraged to seize the moment.

Here in DC, the usual Soros-SEIU-funded radical agitators are coming into town vowing to accomplish what Jill Stein’s idiotic, selective recounts and the asinine Hollywood-Democrat attempts to co-opt the electoral college could not—namely to prevent the inauguration of Donald Trump as America’s 45th president. They’ll be thwarted of course, though not before people are hurt and property damaged. But the spectacle we’ll be seeing will cause great disquiet among the populace here and also among Wall Street traders who, last week, started checking their Trump enthusiasm at the door.

This Friday, when Trump actually takes over the White House for real is where the metaphorical rubber meets the road. All stock speculation up to this point has been more or less based on the latest iteration of “hope and change.”

In this case, we’d bet that the nation as a whole would define that term today as a return to some flavor of pre-2008 America. But the powers opposing this all-new “Return to Normalcy” will have a hard time dislodging those nasty and perpetually well-funded leftists and globalists who want just the opposite: A world run by Emperor Soros and his Boyars that will keep those revolting peasants (and their outdated Christian religion) in their place. It’s all a lot less logical than Soviet-style communism was fifty years ago.

But then again, these people run on the dialectic, not logic. You can’t debate them, because they tend to ban your attempts to do so since they can’t argue back. But, politically speaking, it’s still their way or the highway, Trump’s victory notwithstanding. That’s why this crew will keep their revolution brewing with constant threats over the next four years, making 2016-2020 (?) look a lot like the turmoil we endured 1967-1974.

With chaos reigning supreme, it will be up to the new president and the impressive cabinet he’s trying to get confirmed to jump start trade, the economy, and anything else that could Make America Great Again. To the extent the Trump Team succeeds, they may also succeed in getting at least some of those radical left agitators to just go back home and forget the Revolution. If so, markets may get back into rally mode once again.

Ditto if Trump and the Republicans can actually repeal and “replace” Obamacare and rip out the 2 trillion new regulations (or thereabouts) that Barry is busy sneaking in before he’s forced to leave the White House, the now-defunct Trump-Santa Claus Rally of 2016 might begin a sequel.

But it the chaos goes on and on after it gets underway this week, markets will remain touchy and negative. For the short term, stocks will be acting scared, charts will become misleading, and we’ll all be forced to take a guess as to where things will go next in the wonderful world of stocks.

We’ll try to keep you posted this week on the action as best we can. But investors will be focused on quarterly reports coming out now as well as the daily headline risk of the Trump Presidency, probably more than they will on earnings or technical analysis.

It will be an adventure for sure. So let’s all get our seatbelts secured and then brace ourselves for the ride of the century. First trains and cars leave the station Tuesday morning at 9:30 a.m. sharp.

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