Donald ‘s ‘thing’ FOR Greenland IS cost investors money….
President Trump’s intensifying standoff with European leaders over the fate of Greenland prompted a sharp response from investors Tuesday, with the value of U.S. stocks, the dollar and government bonds all falling.
The S&P 500 dropped over 2 percent for the first time since October, as investors reacted to Mr. Trump’s increasing threat of higher tariffs on European allies unless they supported his plans for America to take control of Greenland. The Vix volatility index, known as Wall Street’s fear gauge, rose to its highest level since November.
Tuesday’s opening decline was the index’s biggest since April, when Mr. Trump first proposed sweeping tariffs on nearly all of America’s trading partners. And while the sell-off remained contained for now, with the S&P 500 still close to its record high, the moves showed a clear increase in investor concern over the future of the established world order. Investors had become inured to geopolitical upheaval in recent years because it has typically had little impact on corporate profits.
Investors’ confidence wavered on Tuesday even as Mr. Trump boasted about a long list of embellished achievements in remarks to reporters, among them the strength of investments in the United States and the stock market’s returns over the course of his first year in office.
“We have the hottest country in the world right now,” Mr. Trump said.
The moves in financial markets told a different story. Often when stocks are roiled by geopolitical upheaval, investors flock to the safety of other U.S. assets, like the dollar or government bonds. But in a sign that investors were embracing a “sell America” trade and moving away from U.S. assets altogether, both the dollar and U.S. government debt lost value on Tuesday….
Air Force One turned around midyear minutes after takeoff for Switzerland.
The explanation is “minor electrical issue.” Does that relate to Trump’s brain somehow?
midair*
Minor Electrical Issue tonight and possibly a Major Electoral Issue in November.
Was AF1 trying to invoke its own 25th Amendment?