The "Set Up" For The Stock Market Is MUCH Different Than It Was In 2016

The stock market is much more expensive than it was in 2016, so don't expect a strong post-election rally.

• The stock market rallied strongly in the year following President Trump’s first election.  HOWEVER, the S&P 500 was trading at 18x forward earnings and 1.8x sales on Election Day in 2016.  Today, it’s at 22x and 3x respectively.  Therefore, investors should be careful in assuming that this morning’s rally in the stock market is something that will continue as we move through the rest of this year…and into 2025.