Wall Street Equally Well Positioned To Exhale, Freak Out

If the Masters of the Universe know who’s going to win today, they’re keeping it pretty close to the vest.

U.S. stocks slipped early Tuesday, but markets were broadly steady as polls opened in a fractious U.S. presidential race….

Oil prices edged lower, while U.S. government bonds and the dollar were little changed….

The CBOE Volatility Index—which is based on the price of options that investors tend to buy when they are fearful of stock-market declines—rose roughly 5% Tuesday after shedding 17% Monday….

“It’ll be a careful day of trading,” said Quincy Krosby, market strategist at Prudential Financial. “There could still be surprises today, and I don’t think the market is taking anything for granted.”

How they’ll play things all comes down to David Tepper and his fellow Floridians.

Brady said he believes Monday’s jump in the S&P 500 on anticipation of a victory by Democratic candidate Hillary Clinton was linked most closely to growing signs that she will win Florida. If signs emerge Tuesday that Republican candidate Donald Trump will take the state, expect the S&P 500 to give up all of Monday’s gains and more, he said. If those signs come after the market closes, he said expect e-minis futures activity to spike. On the other hand, “if Florida goes Clinton, we’ll all go home and get some sleep,” he said.

Stocks, Currencies and Bonds Calm Ahead of U.S. Election [WSJ]