CNBC editor John Harwood warned that President Donald Trump is inventing another world where the markets are tied to his impeachment.
In an interview with Fox News, the president said that if he was impeached the markets would crash and everyone would become "poor."
MSNBC host Ali Velshi walked through the history of former President Bill Clinton's impeachment and the impact on the markets. When the Ken Starr investigation was announced, the market did take a downturn, but it then rebounded. It went down again when articles of impeachment were filed in Congress. From that point until Clinton was acquitted by the Senate, the market gained 28 percent.
"If the president actually believes that, and he might because his self-absorption is so complete that he seems to think that everything revolves around him," said Harwood in response to Velshi's chart. "If he actually believes that, he's completely out of touch with reality. We're in, Ali, as you know, a nine-year bull market, most of which occurred under President [Barack] Obama."
He explained that the totality of Obama's eight years the Dow was up 149 percent. Under Trump's leadership, the market is up about 29 percent. Harwood said that there was a market boost inspired by the 2017 GOP tax cuts but that it's "basically flat this year." He said the Trump trade policies are now damaging any economic prospects in the future.
Watch the full conversation below:
