Geopolitical expert George Friedman take on the american presidency situation, as USA gets close to elections, deserves to be shared and discussed.
“The American presidency is designed to disappoint.” This sentence alone shows how every player in the market should establish his mindset. But the thinking material continues.
“Each candidate must promise things that are beyond his power to deliver. No candidate could expect to be elected by emphasizing how little power the office actually has and how voters should therefore expect little from him. So candidates promise great, transformative programs. What the winner actually can deliver depends upon what other institutions, nations and reality will allow him. Though the gap between promises and realities destroys immodest candidates, from the founding fathers’ point of view, it protects the republic. They distrusted government in general and the office of the president in particular.
Congress, the Supreme Court and the Federal Reserve Board all circumscribe the president’s power over domestic life. This and the authority of the states greatly limit the president’s power, just as the country’s founders intended. To achieve anything substantial, the president must create a coalition of political interests to shape decision-making in other branches of the government. Yet at the same time — and this is the main paradox of American political culture — the presidency is seen as a decisive institution and the person holding that office is seen as being of overriding importance.”
Trading isn’t just a “charts observing game”. A step back its always the best way to comprehend the bigger picture.
Happy trading!