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By Jason Stipp and Jeremy Glaser | 11-06-2014 04:00 PM

Friday Five: Priceline Is Worth a Bid

Near-term headwinds shouldn't derail Priceline's prospects. Plus, a midterm election reality check for investors, and more.

Jason Stipp: I'm Jason Stipp for Morningstar and welcome to The Friday Five: Morningstar's take on five stories from the market this week.

Joining me with The Friday Five is Morningstar markets editor Jeremy Glaser.

Jeremy, thanks for being here.

Jeremy Glaser: You're welcome, Jason.

Stipp: First this week is the midterm elections. They dominated the headlines. There is a lot for political junkies to think about, but what about investors?

Glaser: We'd be remiss if we didn't start by talking about the midterm elections. But as you recall, we haven't talked about this much before, mainly because I don't think it's going to have a major impact on investors.

I think over the next two years we're not going to see a lot of legislative action. We're likely to see the gridlock that's defined Washington since 2010 continue apace. There is a potential maybe for some things like trade deals, maybe an outside chance of a deal on immigration, or maybe even tax reform.

But even if those things were to come to pass, it's just not going to have a major impact on the way that investors should think about their long-term asset allocation. It doesn't make a lot of sense from an investing standpoint to try to stake out a claim, or stake out investments, solely because of a political thesis. You really should look for great businesses, ones that are going to continue to earn cash through all types of political climates. Those are your best long-term bets. Leave these elections to political junkies rather than trying to read too much into the investment implications.

Stipp: Mario Draghi got the markets excited again on talk of more stimulus. What's your read?

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