The markets plunged yesterday in the wake of Tuesday’s election. The major stock indexes each fell nearly 2.5 percent — the biggest sell-off of the year.

Some analysts blamed economic turmoil in Europe for the drop, but Susan Schmidt, managing director of U.S. Value Equities at Mesirow Financial, sees it differently.

According to Schmidt, the situation in Europe, though weak is stable. In contrast, uncertainty over the U.S. fiscal future continues. “Yesterday was all about our elections and the market’s concern over our politicians and their ability to find a compromise regarding the upcoming fiscal cliff,” she says.