Can Trump break the Republican Presidents Curse?

[debbiedowner]

Theories abound as to why the stock market seems to be falling apart — with the Dow Jones industrial average plunging another 1,000 points on Thursday and slipping into an official “correction.”

Some think this is a sign investors are scared of rising interest rates and inflation. Others believe the market simply got ahead of itself last year. And still others blame a slew of new-fangled leveraged investment funds that let investors bet on or against market volatility.

But history suggests there could be a simpler explanation.

Call it the GOP president’s curse.

“Every Republican president since Teddy Roosevelt has experienced a recession in his first two years in office,” says Sam Stovall, chief investment strategist for the research firm CFRA.

In fact, nine of the past 10 recessions in history have begun with a Republican in the White House. And several Republican commanders in chief — Dwight Eisenhower, Richard Nixon, and George W. Bush — have presided over multiple economic contractions.

Since stocks are a forward-looking gauge of the health of the economy — the market has historically begun to slide 7 1/2 months before the onset of a recession — this crash could be Wall Street’s way of saying it expects a recession later this year, Donald Trump’s second year in office.

A 100-year curse on GOP presidents might explain why stocks are tumbling

 

[Dale Smith]

Theories abound as to why the stock market seems to be falling apart — with the Dow Jones industrial average plunging another 1,000 points on Thursday and slipping into an official “correction.”

Some think this is a sign investors are scared of rising interest rates and inflation. Others believe the market simply got ahead of itself last year. And still others blame a slew of new-fangled leveraged investment funds that let investors bet on or against market volatility.

But history suggests there could be a simpler explanation.

Call it the GOP president’s curse.

“Every Republican president since Teddy Roosevelt has experienced a recession in his first two years in office,” says Sam Stovall, chief investment strategist for the research firm CFRA.

In fact, nine of the past 10 recessions in history have begun with a Republican in the White House. And several Republican commanders in chief — Dwight Eisenhower, Richard Nixon, and George W. Bush — have presided over multiple economic contractions.

Since stocks are a forward-looking gauge of the health of the economy — the market has historically begun to slide 7 1/2 months before the onset of a recession — this crash could be Wall Street’s way of saying it expects a recession later this year, Donald Trump’s second year in office.

A 100-year curse on GOP presidents might explain why stocks are tumbling

Wall Street is controlled by the largesse of the foreign owned Federal Reserve Bank....and I bet you don't know anything about it or the QE program.