Russian Hacking & What it Means for Your Portfolio

Last week it was announced that Russia was suspected of having interfered with the US presidential elections.  There is no doubt, that Russia hacked the Democratic National Committee (DNC) server.  Those hacked servers provided fodder for WikiLeaks which released many documents to embarrass the Clinton campaign.  At the time of the release of these documents, it was clear that the leaks were designed to help the Trump campaign and harm the Clinton campaign.

During the time of the leaks, which occurred over many months, it was known that the Putin regime feared Clinton becoming president and that Russia was testing the US resolve in Syria, Ukraine and elsewhere.  We have no doubt that the Russian government hacked the US and tried to manipulate the presidential election.  There is no reason for Russia to take the risk of hacking into the US presidential election unless they wanted to manipulate the election for their advantage.  And there was no way Putin would want Hillary Clinton as president.   There are many articles about his belief that Hilary was bad for Russia.

The bigger surprise is that politicians are acting as if this is new!  We do need an investigation.  It will most likely find Russia was behind the hacking and the reason that Russia hacked the DNC was to influence the US presidential election.  There is nothing more to say since the reason for the hacking is obvious:  Defeat Hilary and help Trump.

Now for your investments and the US economy, in general.  There is almost no near term effect from this action.  There is a very real danger to the US economy as it becomes apparent that foreign governments can basically hack any computer system with impunity.  The wakeup call is clear and present.  How can we protect US interests militarily if a country such as North Korea or Russia can take down the New York Stock Exchange, Social Security or maybe our entire banking system.  Short term this issue is a blip except for Hillary Clinton, long term we have exposed a huge weakness to the health of our economy and there is little discussion about how that is going to be protected!

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