Trump Now Live-Tweeting The Market: "Record High For S&P 500":

Apparently, having nothing else to comment on this morning, moments ago the president tweeted that as of this moment, the S&P just hit its latest, 40th YTD, all time high in 2017.

"RECORD HIGH FOR S & P 500!"


Putting this declaration in context, in April 2016, Trump was feeling increasingly bearish about stocks. He told The Washington Post that they were overvalued and that the strong data that showed a healthy economy were essentially phony.

“I think we’re sitting on an economic bubble. A financial bubble,” Mr. Trump said.

By September, he was arguing that the Federal Reserve was propping up a “false economy” that is actually weak.

“The only thing that is strong is the artificial stock market,” Mr. Trump told Reuters.

Trump saved his most brutal assessment of the stock market, and the economy, for his first presidential debate with Hillary Clinton. In response to her criticism of his economic proposals, he said that the recovery was the worst since the Great Depression and that it would come crashing down the moment that interest rates rise.

“The only thing that looks good is the stock market, but if you raise interest rates even a little bit, that’s going to come crashing down,” Mr. Trump said. “We are in a big, fat, ugly bubble.

Somehow we doubt there will be similar presidential enthusiasm on the way down.

Comments

Haus-Targaryen Pollygotacracker Fri, 09/29/2017 - 10:18 Permalink

Because the previous crashes (save for 2008) didn't pose an existential threat to our financial and monetary system. The 2008 crash DID pose a existential threat to the system, and thus the various CBs did step in and start buying everything. The big 6 CBs of the world are taking turns in devaluing so as to mask the FX effects of doing so and basically shutting off the exits for institutional (smart) money. If there was a single major currency that wasn't doing the exact same thing; all the smart money would be piling in there and selling other currencies. 

In reply to by Pollygotacracker

Giant Meteor Haus-Targaryen Fri, 09/29/2017 - 10:48 Permalink

Yes indeed. Apparently they looked into the abyss and weren't diggin it ..Tanks in the street by mornin , Hank Paulson ..Shit was gettin serious ,,So lyin, war mongering, and statistcal fuckery it is, farrrrrr as the eye can see,What folks have to realize is none of it is real, real, which, explains much in the daily asshattery department, ministry of truth.They must have figured gee willikers, one more of these might bring the whole starship down ..So they lie.Lying is the norm ..THe American way of life (and government pensions) rely upon it ..

In reply to by Haus-Targaryen

rex-lacrymarum Haus-Targaryen Fri, 09/29/2017 - 11:31 Permalink

You make a very good point indeed.  But I still think they have far less "control" than people seem to believe. I say this because I read their papers and carefully listen to their speeches, and have concluded they are complete dunderheads. They have huge power, and the coordination you mention (currency deval merry-go-round) very likely does exist imo. But their co-conspirators are dunderheads as well.You will know when the moment comes when everyone can clearly see that they are groping in the dark again.  I looked at Bernanke closely and listened closely to him, before, during and after the GFC... and I think he still doesn't really know what happened - i.e., he doesn't understand it on a very fundamental level. He may say otherwise, but I think he doesn't even know if what he did actually did something, and what that something actually was. Nor does he know what happened to it... and what destruction it has wrought behind the facade of the latest "everything's under control" Potemkin village. 

In reply to by Haus-Targaryen

Byte Me abyssinian Fri, 09/29/2017 - 10:15 Permalink

"Trump is a freaking clown! but still better than Hillary! :)"

Absolutely!!But Trump is just the ticket and EXACTLY what the USA has NEEDED since the advent of commercial television in the 50s.[BTW, he knows exactly what the score is, is giving great entertainment value (because...), and is quite aware of being "boxed in." Enjoy it. Revel in it even. Hope for another seven years of it, because ALL of the alternatives were terrifying.]

 

In reply to by abyssinian

ebworthen Fri, 09/29/2017 - 09:54 Permalink

That is a poor decision Mr. President, the stock "market" has nothing to do with the Middle Class (other than an avenue of theft and skullduggery for Wall Street).

lester1 Fri, 09/29/2017 - 09:52 Permalink

I was told by an insider friend at the white house that Trump cut a deal with the Federal Reserve for them to keep manipulating markets higher, in exchange for keeping that globalist Gary Cohn on as an economic advisor and writing his tax proposal.

Dutch1206 lester1 Fri, 09/29/2017 - 10:35 Permalink

Doubt he'll win in 2020.  He'll most likely end up in a situation like Bush Sr.  He's going to take the brunt of the inevitable economic collapse and when all those middle class people he was supposedly going to help out can't find work again...he'll be the one getting the shit.  Social issues won't win you an election if your constituency went into the poor house on your watch.He's stupid for even taking credit for the stock market because now he'll have to own the collapse.

In reply to by lester1

my new username Fri, 09/29/2017 - 10:00 Permalink

You want him to talk it down?
Yellen will kill it, and she will carry the can.
Trump did not blow this bubble - Obama/Yellen/Bernanke did. He is preventing an implosion.
The world and his dog said it would burst when Trump took office. Wrong.
Now they want it to burst, just like they want Russia to be found red handed, just like they want Hillary in the White House.

Dutch1206 my new username Fri, 09/29/2017 - 10:41 Permalink

He'd be wiser to not talk about it at all.  Unfortuantely for him, it's the only piece of "good" news he can claim.  And if the economy goes into the tank, do you actually think your average Trump supporter will even be smart enough to know who created the bubble?  Go down to the red states and start talking about quantitative easing, operation twist, and bond yields.  I'm sure that conversation will end pretty quickly.   

In reply to by my new username