It seems that electing a successful businessman to run the country has led to more than its fair share of economic benefits, to the surprise of few people.
The markets have been so optimistic over the new President that for the past 10 months, the Dow Jones Industrial Average (DOW) has recorded its 56th all-time record closing high, up a total of 21 percent since last year – a record that no other president in history has accomplished, according to The Gateway Pundit.
Trump has become the first president in US history to see two stock market rallies of nine or more days where the market has achieved new highs each and every day. Over the 200 trading days since he has taken office, the DOW has increased by over 4,000 points, an unheard of achievement. On February 28th, he matched Ronald Reagan’s 1987 record for continuous closing high trading days, where the DOW reached a new high for over 12 days in a row. Not only that, but the index took only 66 days to climb from 19,000 to 21,000 – the fastest 2,000-point run in US history.
Upon further inspection of the details, one can’t help but find many other noticeable records being matched or broken over the 10-month span. A March 1st rally matched the fastest-ever 1,000-point increase, taking the DOW only 24 days to do so.
Aside from the DOW, even the S&P 500 and the NASDAQ both set new records during the period, with the former breaking over $20 trillion in market capitalization for the first time in history.
Overall, the US stock market gained $4 trillion in wealth since Trump got elected.
When comparing economic results to his predecessor, it couldn’t be any more different. President Obama’s first few months were quite poor, with the market tumbling over 31 percent in the first few months since his election – signaling a lack of confidence in the president’s economic capabilities.
By the end of his first year, the market ended up settling to where it was before, marking his first year as turbulent and uncertain. In fact, the stock markets under Obama didn’t reach any new highs at all during his entire 4-year first term. Of course, with the 2007-2008 subprime mortgage crisis just before Obama’s election, he inherited an understandable degree of volatility from the markets. Even with this justification, however, one still can’t deny the lackluster financial results from this administration.
“Business is looking better than ever with business enthusiasm at record levels. Stock Market at an all-time high. That doesn’t just happen!” tweeted Trump triumphantly last month.
Anti-Trump economists, financial pundits, and news outlets have been relentless in trying to disassociate these stock market gains from Trump’s presidency. Morgan Stanley’s investment management team said Trump’s effect on markets has been a “very modest negative, but largely not relevant,” and that this rise was all about “the earnings recovery.”
Others have attributed this stock market gain to an increase in the market’s willingness to take greater risks in an era of greater political uncertainty that has been ushered in by Trump. Humorously, it turns out that the stock market has also been setting record lows for volatility as well, contradicting this theory.
Occam’s Razor suggests that the simplest hypothesis to a problem tends to be the most probable one. In this case, it’s clear that Trump’s economic policies have created one of the greatest stock market upturns in American history – something that deniers need to come to terms with.