Dow plunges more than 650 points as President Trump blames Fed

[Airyaman]

Dow has been down 13% since Trump called himself "Tariff Man" on 12/04.

 

[Fletch]

So let me get this straight.... you don't think President Trump's jawboning of the Fed - calling into question it's independence - has had any adverse effect on the markets?

No, it has almost no impact. Many believe that FED action is harming the market. Trump is simply repeating what others are saying. BUt as I pointed out earlier, the market has dropped nearly 5000 points since dems took over the House and promised gridlock and endless investigations. But that coulndt be it could it.

 

[justabubba]

You guys havent gotten anything right, including this. This is probably going to make your head hurt, but presidents are insignificant factors in market swings. There are probably a half dozen reasons for the market move that dont include the word Trump. But because Trump is all you ever see, Trump is all you ever see.

yea, it is so expected for the president's head of the treasury to contact the six largest USA banks to be assured of their liquidity

just checking. no reason other than that

 

[Fletch]

That's funny the Dems won't take over the house until January 3rd

Markets are forward looking. They are taking the democrats promise of political instability seriously.

 

[Fletch]

yea, it is so expected for the president's head of the treasury to contact the six largest USA banks to be assured of their liquidity

just checking. no reason other than that

And??

 

[Rogue Valley]

The Dow, S&P, & NASDAQ are all part of the Deep State.

:ssst:

 

[justabubba]

And??

it's tRump and his cohort who are causing massive uncertainty in the marketplace
you probably never realized that the market does not like uncertainty

 

[Verax]

The only thing keeping Trump afloat this whole time has been the economy. Now that he's ****ed that up he's done.

 

[Disraeli]

Trump Since Inauguration:
Nasdaq +10.3%
S&P +3.39%

Obama (Same Time Frame)
Nasdaq +45.97%
S&P +36.35%

Dodgin' Donnie claimed the market as his child when it was up, but now claims it's Powell's, and Pelosi's and Schumer's, and Mnuchins and, and, and...... it doesn't work that way.

A worthy man is circumspect in success and accountable in failure.

 

[Fletch]

it's tRump and his cohort who are causing massive uncertainty in the marketplace
you probably never realized that the market does not like uncertainty

THe only real uncertainty that has been injected into the markets is how much political turmoil the dems will cause now that they control the House. Trump has been in office for two years. And the market has risen and the economy has flourished.

 

[Fletch]

The only thing keeping Trump afloat this whole time has been the economy. Now that he's ****ed that up he's done.

Except the economy is just fine. So much for your theory.

 

[washunut]

https://www.marketwatch.com/story/u...s-eve-bounce-for-battered-equities-2018-12-24

Dow skids to end down 2.9%; S&P 500 on cusp of bear market

U.S. stock indexes booked their worst trading session on the eve of Christmas in history in a holiday-shortened session, putting the S&P 500 on the brink of the 20% decline from a recent peak that is commonly considered a bear market.

Wall Street trading on the New York Stock Exchange closed at 1 p.m. Eastern Time, on Christmas Eve and will be closed on Tuesday for the holiday.
===========================================
Trump can stop beating his chest with claims of how well the market is doing. Merry Christmas!

Just how sick have our politics become. Most people not working for the government rely on their 401K to retire. Yet you rejoice in their angst during this holiday season.

Shows just how sick and hateful our politics have become. Safe to say that Trump does not comport himself as a president should. That is no excuse for the mean-spirited comments from those who wish Americans harm.

 

[justabubba]

THe only real uncertainty that has been injected into the markets is how much political turmoil the dems will cause now that they control the House. Trump has been in office for two years. And the market has risen and the economy has flourished.

well, except for lately
let's see if we have a tRump recession to go with the tRump shutdown

 

[Airyaman]

The S&P has lost 500 points and the DOW 5000 points since the dems took over the House. So it looks like its the lefts fault.

Not a straight line since elections. DOW went from a peak on 11/09 of 26191 down to 24286 on 11/23. It then went back up to a peak of 25826 on 12/03. During that time period, the Ds were still poised to take over the House.

The next day, Trump called himself "Tariff Man" and the DOW has lost ~13% since that time.

 

[Fletch]

well, except for lately
let's see if we have a tRump recession to go with the tRump shutdown

You keep hoping...

 

[Cordelier]

No, it has almost no impact. Many believe that FED action is harming the market. Trump is simply repeating what others are saying. BUt as I pointed out earlier, the market has dropped nearly 5000 points since dems took over the House and promised gridlock and endless investigations. But that coulndt be it could it.

Financial markets are all about risk assessment, Fletch... and you can't assess risk without first determining the risk-free interest rate. It's the r in the Black-Scholes derivative pricing model. For the US economy, our r is the Federal Funds Rate - it's the most risk-free interest rate we have... it's level affects everything else in the market. It's the reason why the markets hold their breath every time the FOMC meets. We count on Federal Reserve independence to get the right number for the economy.

But if the Congress.... or even worse, the President - starts jawboning the Fed and making threats that cast doubt on it's independence, then that shakes everything else up. If our economic bedrock is taken away, then all of a sudden, our financial markets - and the pricing models on which they are built - have feet of sand.

 

[justabubba]

You keep hoping...

not hoping
expecting

maybe you will learn the difference one day

 

[Fletch]

Not a straight line since elections. DOW went from a peak on 11/09 of 26191 down to 24286 on 11/23. It then went back up to a peak of 25826 on 12/03. During that time period, the Ds were still poised to take over the House.

The next day, Trump called himself "Tariff Man" and the DOW has lost ~13% since that time.

Right. Because that is the type of thing that causes investors to sell stocks :roll: Jesus

 

[Verax]

Except the economy is just fine. So much for your theory.

Yep, just like Trump's administration was just fine. I don't think you guys have a good enough track record to make any kind of predictions.

Btw, there's a nasty recession coming, probably starting in 2019. Good luck with that.

 

[Airyaman]

Right. Because that is the type of thing that causes investors to sell stocks :roll: Jesus

No, but the economy has been feeling the effects of tariffs as the year goes on.

 

[Fletch]

not hoping
expecting

maybe you will learn the difference one day

Why dont you tell me what the difference is since you think it matters.

 

[Fletch]

No, but the economy has been feeling the effects of tariffs as the year goes on.

Now I can agree with that. But if you are going to confront trade imbalances between nations, when is the best time to do that? When the economy is doing well or the economy is doing poorly? This is actually the perfect time to confront China in particular. I think the Chinese cave in tomorrow if the US were to show a united political front on the issue. But thats not going to happen

 

[Disraeli]

The best thing Trump can do right now is keep his mouth shut and his fingers off the keypad.

If, he does that, competent people will be able to do their jobs and the market will eventually stabilize.

He should realize the people who he is abusing right now might just save his sorry a**.

 

[Fletch]

Yep, just like Trump's administration was just fine. I don't think you guys have a good enough track record to make any kind of predictions.

Btw, there's a nasty recession coming, probably starting in 2019. Good luck with that.

Just like justabubba and every other Trump hating liberal, you HOPE a recession is coming, but there is no evidence that that is true. But since when do you guys need evidence?

The truth is, we have not eliminated the business cycle and are overdue for a recession based on historical averages. We are at full employment and businesses are profitable. The market has dropped but the smart money will be buying stocks in 2019, not selling.

 

[Deuce]

Send Thank-you card to Pelosi and Schumer.

Once again, the party of personal responsibility, everyone! :lamo