Donald Trump won’t be bragging about the stock market anymore as the Dow suffered its biggest one day drop in history.
Video of David Leonhardt of The New York Times explaining why it was dangerous for Trump to take credit for the stock market:
Trump's stock market brag goes bust. pic.twitter.com/p5gb9rb2e7
— Sarah Reese Jones (@PoliticusSarah) February 5, 2018
Leonhardt said, “To everyone out there is when you hear journalists like me confidently tell you why the stock market failed, don’t believe us. No one knows most of the time exactly why the market rose or fell. That’s why we use phrases like animal spirits. And so yes, it seems like people are getting nervous about a slowing economy but we’re not sure. So that means we’re not sure when this is going to end. It could be that political chaos is playing some role in the market jitters. Maybe it’s playing no role. And I think that’s why it’s so dangerous for President Trump to have taken all this credit for the stock market because he’s effectively suggested that he can control the market. And not even a president can understand or control the stock market.”
It is not a coincidence that the drop started after Republicans released their Russia memo
Markets hate instability, and the Trump administration is nothing but instability. It is as if Wall Street finally woke up from its fever dream of self-fulfilling bubbles and realized that the underlying data on the economy suggests that things are slowing down. Trump cut taxes for rich people and corporations, but Wall Street knows that his move is going take money out, not put money back into the economy.
Trump isn’t doing anything to help the economy or ease the turmoil. The President is caught up in the Russia scandal, watching Fox News, tweeting, and playing golf. The market is reeling and needs assurance. Instead, Trump went to Ohio to accuse Democrats of treason for not clapping enough for him at the State Of The Union.
Donald Trump took credit for the stock market, and now he is going to be blamed for its historic drop.