The Dow closed Wednesday adding another record drop under the president, but Donald Trump is blaming the media for the failures.
"The Fake News Media is doing everything they can to crash the economy because they think that will be bad for me and my re-election. The problem they have is that the economy is way too strong and we will soon be winning big on Trade, and everyone knows that, including China!" Trump tweeted as the markets appeared more like a roller coaster than a booming economy.
The Fake News Media is doing everything they can to crash the economy because they think that will be bad for me an… https://t.co/irIShkIHM3— Donald J. Trump (@Donald J. Trump)1565887973.0
Trump spent the better part of his first two years in office bragging that the market's success was all because of him
“The stock market has added more than $8 trillion in new wealth," Trump said during a Senate Republican Member Conference in 2018. "In fact, if the opposing party had won the election, you would have had tremendous new rules and regulations put on everything, and other things would have happened. And instead of going up almost 50 percent, your stock market, in my opinion, would have gone down 50 percent — I really believe that — because they were stifling it. They were getting prepared to stifle even worse than it was.”
"Had the other side gotten in, the market would have gone down 50 percent from where it was — 50 percent from where it was. Remember that. It was stagnant, and it was going down," Trump told the "Women of America" panel in Jan. 2018.
“And you're seeing what's happening with the stock market. People are appreciating what we're doing," Trump told the press while signing a tariff on solar equipment just two weeks after the "Women of America" comments. "So we're bringing business back to the United States for the first time in many, many years — many, many decades, really. And we're very proud of it and that's why the stock market is reacting the way it is. Okay. … There won't be a trade war, by the way. There will only be stock increases for the companies that are in this country. And that's what happened today.”
Now that the market is going down, however, it has nothing to do with him. He's blamed the Federal Reserve, Democrats, and now he's turning to the media.
Economists have reported that an indicator of a recession might be the yield on the ten-year U.S. Treasury bond dropping below the yield of the two-year U.S. Treasury bond for the first time since 2007. According to Bloomberg, market observers say it is a leading indicator of a coming recession. That's one major reason the market took a dramatic tumble on Wednesday.
Moody's economists have also cautioned that Trump's trade war is making things worse.
You can read the Twitter response below:
just "millions" of jobs being lost in China because of your tariffs? Why not trillions of jobs? As long as you're m… https://t.co/3418zWpeaG— Dean Baker (@Dean Baker)1565887913.0
@realDonaldTrump Now it’s the media’s fault your economy is tanking? @realDonaldTrump followers must be the most moronic individuals ever.— Morris Dalla Costa (@Morris Dalla Costa)1565888385.0
@realDonaldTrump Really Trumpy? Because I'm pretty sure China would tell a different story.— truthbyDW (@truthbyDW)1565888429.0
@realDonaldTrump I crunched the numbers and I don’t think it is CNN, MSNBC, or The New York Times fault the economy… https://t.co/G0sJcKPt32— Tony Posnanski (@Tony Posnanski)1565888559.0
@realDonaldTrump Everything you touch goes bankrupt and now your failed policies are creating a recession not just for us, for the world.— CK (@CK)1565888894.0
@realDonaldTrump ... Do you know how news even works?! You fucking idiot— Phillip Kelly (@Phillip Kelly)1565888358.0
@realDonaldTrump You stupid man..... the media can't crash the economy but YOU sure as hell are. With your stupid… https://t.co/Hg3ynJ1cb5— Candy Kelley (@Candy Kelley)1565888741.0
Funny thought: I wonder if Trump wishes he had reappointed Janet Yellen to the Fed (a reappointment she richly dese… https://t.co/5Xw8kzbEef— Paul Krugman (@Paul Krugman)1565882598.0
Here comes the #TrumpRecession https://t.co/GWpTitoPGJ— Barry Ritholtz (@Barry Ritholtz)1565888701.0