So, the president comes home from Buenos Aires and tells us about his, greatest in history, trade discussion dinner with the Chinese. He leads us to believe that the Chinese are ready to deal with all our concerns about trade.
The stock market was happy on Monday, celebrating with a 1 percent (288-point) gain in the Dow. Then the stock market finds out on Tuesday that Trump is still embracing tariffs and figures out that it’s all smoke and mirrors. So, the Dow falls 3 percent (799 points), the fourth largest (really, the fourth largest) one-day point decline ever.
But, these wild swings in the markets are not unusual during the Trump administration. Eight of the top 20 largest up moves ever have occurred during the Trump presidency. By the same token, 10 of the top 20 down days have happened in that same period.
It’s as clear an example as I can find that shows markets do better with consistency, predictability and stability. We’ll just have to hang on for the next two years of Mr. Trump’s wild ride.
Lebanon (Dec. 4)