These kind of political issues do not resolve themselves quickly, and can drag down sentiment for prolonged periods.
Companies do not even need to start missing targets, investors just have to think they may do so in the relatively near future for shares to fall.
It is not the case that corporate America is suddenly going to struggle to hit earnings projections if Trump is elected, but the uncertainty over things such as his trade policies and the potential for adverse geopolitical events saps confidence.
The prospect of a US interest rate rise coinciding with all this political uncertainty is not helping matters one bit either.
Given the different elements to this summer’s sell-off, a quick resolution as seen with the rebound from the China inspired slide in 2015 seems a long shot.
These issues are going to take several months to play out, therefore investors may need months or even longer to fully understand them and recalibrate both their expectations and their portfolios.