After impacting the markets with his comment about a forthcoming “phenomenal” tax plan, the markets have been surprisingly unmoved by any of the headlines coming in from Washington D.C.
This week, we’ve seen stocks focusing on the good economic data (retail sales, Empire Manufacturing) and ignoring the political drama (Trump’s Labor Secretary nominee, Andrew Puzder, withdrew yesterday). Earlier this week, the market also remained steady after the news of National Security Administration Michael Flynn’s resignation.
What might Trump do to impact the market? After campaigning with somewhat hostile trade rhetoric, we’ve the realities of global trade soften his tone a bit. For example, he embraced the “One China” policy of governance over Taiwan. Similarly, so far Trump has resisted instructing the Treasury Department to label China a “currency manipulator” in its semi-annual currency report, due out in late March/early April. That would obviously be bad for stocks.
Find out first and keep your clients and prospects in the know. Sign up for your free trial of the Sevens Report and you’ll get all the market analysis in your inbox by 7am each morning. www.7sReport.com