That’s a clear win for Main Street after years of weak pay

Trump breaks his silence

President Trump doesn’t sound happy with the stock market. He broke his silence Wednesday about the market turmoil: “In the ‘old days,’ when good news was reported, the Stock Market would go up,” he wrote on Twitter.

replica bags from china He added, “Today, when good news is reported, the Stock Market goes down. Big mistake, and we Handbags Replica have so much good (Great) news about the economy!” replica bags from china

Trump’s complaints came two days after an awkward split screen moment: The Dow was Designer Fake Bags plunging more than 1,000 points just as he was giving a televised speech touting the economic benefits of his tax plan.

Wall Street’s darkest day since 2011 put the president in a tough spot because he took so much credit for the market’s big gains after he was elected.

So what is Trump talking about?

replica bags buy online He has a point about good news and bad news: The market did indeed plunge in recent days after cheap replica handbags positive economic news. Though that’s not a new thing it Replica Designer Handbags happens from time to time. And there is some logic behind it, even if it’s frustrating to presidents and everyday investors alike. replica bags buy online

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Consider the rude reaction on Wall Street to Friday’s jobs report, which showed that wages grew at the fastest pace since 2009. That’s a clear win for Main Street after years of weak pay increases for workers.

Yet the stock market had KnockOff Handbags a hellish day. The Dow plunged 666 points, or 2.5%, its worst day in more than a year.

bag replica high quality Wall Street was focused on the short term. Investors worried that wages could grow so quickly that they will put a dent in purse replica handbags record corporate profits and make the Federal Reserve nervous about inflation. bag replica high quality

good quality replica bags “We’re back in this perplexing phase where good news for the economy is treated as bad news for financial markets,” said Candice Bangsund, portfolio manager Designer Replica Bags at Fiera Capital. good quality replica bags

If the Fed aggressively raises interest rates to fight inflation, it will remove one of the drivers of the bull market. Because of that fear, investors sold bonds, which drove yields to four year highs. Higher yields make risky stocks look less attractive by comparison. Thus the sell off.

best replica designer bags So in that sense, Trump was right: Good news for Main Street was viewed as bad news by Wall Street. best replica designer Replica bags bags

In the “old days,” when good news was reported, the Stock Market would go up. Today, when good news is reported, the Stock Market Replica Handbags goes down. Big mistake, and we have so much Replica Bags good (great) news about the economy!

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replica wallets More than once under President Barack Obama, Wall Street became nervous that good economic news would force the Fed to raise rates. And in other cases, the opposite happened: Bad jobs news drove stocks higher because it meant the easy money wasn’t Fake Designer Bags going anywhere. replica wallets

This inverse wholesale replica designer handbags reaction was so common that sometimes, as with a strong jobs report in August 2016, it was noteworthy Fake Handbags that good news was treated as good news.

Of course, the recent market turbulence is about more than the good news/bad news situation Trump alluded to.

The stock market boom since Wholesale Replica Bags Trump’s election became overheated. Euphoria set in, making the market more vulnerable to replica Purse sharp setbacks. A cool off period was long overdue and may prove to be a healthy thing.

cheap designer bags replica “Markets do better over aaa replica designer handbags the long Replica Bags Wholesale term when they experience corrections periodically,” Capital Group CEO Tim Armour said in a recent report. “They can’t go up all the time.” cheap designer bags replica

aaa replica bags In the past, Trump himself loudly cheered replica handbags online for the market to keep rallying. After the high quality replica handbags Dow hit 20,000 in early 2017, replica handbags china he said “Now we have to go up, up, up.” It was a big reversal from during the 2016 campaign when he called the market a “big, fat, ugly bubble.” aaa replica bags.

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