Word on the street is bankers are looking forward to an upcoming Trump presidency.
According to JP Morgan Chase CEO Jamie Dimon, Wall Street bankers are “dancing in the street” over President-elect Donald Trump’s victory. It seems they are looking forward to deregulation across multiple different industries after seeing an explosion in the regulatory marker under the Biden-Harris administration.
Certified financial planner Richard Rosso believes a second Trump presidency will end up benefiting more Americans financially.
"Regulations reduce productivity, they slow things down, they increase costs," said Rosso. "They act like friction in the economy."
Companies have experienced higher input costs over the last four years, but Rosso expects a reduction in regulatory action that will make it easier for companies to do business and consumers will see a drop in the costs of things once Trump is back in office.
"Hopefully the prices that you pay will actually start to decrease because of the higher costs of goods sold and the input costs and a reduce in regulations," Rosso said.
Following Trump's win earlier this month, there was an instant effect on the markets. The DOW, NASDAQ and S&P all saw historic jumps. Rosso called Trump's win a win for the economy for the future and a "breath of fresh air" for Americans.
As far as Trump’s new Department of Government Efficiency (DOGE), which will be headed up by SpaceX and Tesla CEO Elon Musk and entrepreneur Vivek Ramaswamy, there will be a lot of red tape needed to be cut and wasteful spending to get a grip on.
"You do need regulatory action, it's just that all the needless regulatory actions, especially global climate change initiatives and DEI, will be less of a burden on all companies now," said Rosso.
Additional regulations in the energy sector has had a significant impact on those types of companies over the past few years too.