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Wall Street already picked its winner from the first debate

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U.S. stocks opened slightly lower on Tuesday before bouncing back. They fluctuated on concerns about falling oil prices and the health of European banks -- but don't let that lackluster market open fool you.

Stock futures rallied overnight. Most market watchers attributed that optimism to Hillary Clinton's performance at the first presidential debate, and have effectively declared her the winner.

If Clinton represents the status quo, Donald Trump is the embodiment of uncertainty.

Clinton a 'safer pair of hands'

And if there's anything Wall Street loathes, it's uncertainty. How do you hedge bets when you don't have a clear idea of what policy decisions are to come?

"The typical investor just can't contemplate the possibility of a Trump victory," Cary Leahey, chief U.S. economist at Decision Economics, told CNN Money.

"The perception on Wall Street is that [Clinton] would be the safer pair of hands," Paul Webb, deputy CEO at ADS Securities London, said in a note cited by MarketWatch.

Even the Mexican peso crowned Clinton the debate's winner.

Plenty of turbulence ahead

That said, while market experts were impressed by Clinton's performance, they weren't completely blown away.

Market experts even cautioned that with two more debates to go, and with polls showing a tight race leading up to November's election, the U.S. stock market could be in for lots of turbulence. 

However, from Moody's to Morgan Stanley and UBS, many on Wall Street favor a Clinton presidency.

This race seems set to be a bountiful source of market volatility in the near term.
Paul Webb, ADS Securities London

Still, "the idea that we're seeing a little more certainty over the outcome of November's U.S. presidential election is set to provide some direction here," Webb said.

"But with two further debates and six more weeks of campaigning to go, this race seems set to be a bountiful source of market volatility in the near term."

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