You don't have to like Wall Street to recognize that they know which side of the slice their bread is buttered on. They know their onions what makes them money and what doesn't, premised on what makes an economy go fast, and what makes an economy screech to a halt.
So now we have this:
Kamala Harris unveiled her economic plan, with its vast government spending to create more inflation, and Maduro-style price controls to supposedly stop it, and Wall Street is starting to scramble. Nobody wants to be the last one out of the pool with that kind of an event.
They know how this story ends, they've seen it time and again, with the Mexican peso meltdown, the Asian crisis, the S&L crisis, the housing crisis, the Russia ruble crisis, the Long Term Capital Management bailout, China's serial devaluations, Argentina's serial defaults, and plenty of other crises.
Broadly speaking, it's always a disaster when a government overspends beyond its means, devalues its currency as a result, sees various financial institutions take hits, and then in some cases takes insane measures like capital controls to fix the mess they made, leading to shortages and the destruction of savings that would otherwise go into investment capital. In some cases the governments actually go down in flames, their capitols literally on fire.
They know Economics 101, that price controls are a recipe for shortages and black markets and the breakdown of rule of law, and at a minimum, never work the way they are supposed to work. Even the leftists on Wall Street know this basic fact, they would be embarrassed to say they didn't, which is why we see so much pushback against the idea even in the leftist media. Again, it's Economics 101 and only stupid people don't know Economics 101.
Which brings us to Harris.
The people of finance really do know their stuff on these economic matters, which explains why they are reacting so swiftly and with such alarm at the news.
Here are two eye-blanching long threads on Twitter explaining just how these Kamunist plans are going to hit the economy, both are exceedingly useful and instructive:
This one's from an expert on mergers and acquisitions, with a droll and ironic opener that doesn't stay that way once you read down. He knows the deal on how price controls work out:
This, too:
This one's from an entrepreneur who clearly understand the housing market, which is another part of the Kamunist plan:
That's not a pretty picture.
Bottom line here is that Wall Street is pretty alarmed about the economic idiocy of the Kamala plan for the economy. You can bet they are hedging and defending their assets now for the inevitable storm to follow if this fool gets elected president. They are battening down the hatches now because they know it will be a big one.
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