New York (AFP)

Increased taxes on corporations and the rich, dismantling tech giants, reinforced regulation of many sectors: the candidacy of Elizabeth Warren, a recent survey leads the Democratic race for the US presidential election of 2020, scares more and more on Wall Street.

Among the Massachusetts senator's detractors on the New York square, fund manager and billionaire Leon Cooperman has not done in the lace, accusing him of "shitting on the fucking American dream" and predicting a fall of 25% of stock indexes in case of Warren presidency, according to an article on the Politico website.

On Twitter, she said: "Leon, you have been able to succeed because of the opportunities this country has given you, why do not you contribute a little more to make the American dream accessible to all? ? "

At 70, the progressive candidate, well placed in the polls for the Democratic nomination, built her reputation by posing as a defender of the excesses of finance.

Nicknamed the "Wall Street sheriff" in 2010 by Time magazine, for her role in regulating banks after the 2008 financial crisis, Elizabeth Warren made control of big capital its main warhorse. A creed she has repeated to the heart since the beginning of her presidential campaign.

"Wall Street is concerned about Elizabeth Warren, and the program she advocates is expensive, but she has not been very specific about funding," said financial advisor Hugh Johnson.

Market players are worried about what the Senator thinks is costly measures, such as her universal health insurance plan, or her desire to cancel some of her student debts, and any tax increases that may result.

"An increase in corporate taxes means a drop in their income." As for taxes on individuals, Wall Street fears that they will cause a decline in consumption, "says Gregori Volokhine, portfolio manager for Meeschaert Financial Services.

Not very open about possible additional taxes for the middle classes, the candidate prefers to insist on its will to tax the very rich of 2% beyond 50 million dollars in income.

According to the French economist Gabriel Zucman, whose work inspired the economic program of Elizabeth Warren, this measure would bring 2.750 billion dollars in ten years.

To those who accuse him of digging the US budget gap, the senator's supporters recall that the deficit has exploded under the Trump administration, touching the $ 1,000 billion for the year 2019, in full growth for the American economy.

- Pressure sectors -

A former Harvard law professor, Elizabeth Warren spoke in favor of greater regulation of industries whose weight on Wall Street is considerable.

"A lot of sectors would initially be under pressure if they got the Democratic nomination," anticipates Quincy Krosby of Prudential.

It hammered out its intention to dismantle the big American banks and the technological giants of Silicon Valley.

An alarming prospect in the eyes of Facebook boss Mark Zuckerberg, who said he was ready to "go to war" or even to "sue" the federal government to avoid it, in remarks to his employees who flee early October .

The oil industry is also in the crosshairs of the candidate who plans to ban hydraulic fracturing, a shale gas extraction process that is widespread in North America and whose environmental impact is controversial.

The drug groups would be forced, according to the plan of the Wall Street defender, to reduce the price of many drugs.

- reassuring signs -

Given the intransigence of Elizabeth Warren, Wall Street seeks comforting signs, wanting for example to believe that it will adopt more moderate positions in case of candidacy against Donald Trump in the presidential election.

"Generally, to win the election, it is necessary to refocus," notes Krosby, who is however skeptical about a possible change of line.

Former Republican Elizabeth Warren has described herself as "capitalist to the marrow", unlike his rival Bernie Sanders proudly claiming socialism. Stock market players also rely on the impossibility for the candidate to implement his project against a Senate that could retain its Republican majority and block any reform deemed too radical.

President Elizabeth Warren would then be forced to compromise with other branches of the US government.

"The stock market has some reason to be reassured, but if you take your program literally, it has a lot of reasons to panic," says Gregori Volokhine.

© 2019 AFP