Stocks Rebound Under Biden But Real Returns Still Weak Compared to History
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Stocks have rallied recently, regaining ground lost earlier in Biden's term, but real returns are still fairly weak at just 8% over 3 years.
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Inflation-adjusted returns under Biden have been far below historical averages and much worse than under Trump.
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There is some correlation between Trump's election betting odds rising and stock market increases, but the biggest driver is still likely corporate profits.
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Much of the stock gains have just offset previous losses rather than representing real new value creation.
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Proposed Democratic tax increases on capital gains, dividends, and corporations could dampen stock market outlook if enacted.