President Donald Trump has increased his frequency in tweeting over the past 10 days, paying particular focus on an impeachment inquiry directed toward him that was announced last week.
On Wednesday morning, Trump attempted to use the impeachment inquiry as a means to explain why the stock market had dropped more than 800 points within the past 48 hours.
“All of this impeachment nonsense, which is going nowhere, is driving the Stock Market, and your 401K’s, down,” Trump wrote in a tweet, directing his words toward his followers on Twitter.
Trump added that this was a purposeful move by Democratic lawmakers. “[T]hat is exactly what the Democrats want to do,” he wrote. “They are willing to hurt the Country, with only the 2020 Election in mind!”
All of this impeachment nonsense, which is going nowhere, is driving the Stock Market, and your 401K’s, down. But that is exactly what the Democrats want to do. They are willing to hurt the Country, with only the 2020 Election in mind!
— Donald J. Trump (@realDonaldTrump) October 2, 2019
While Trump’s assertions cannot be proven one way or another, it’s unlikely that the impeachment talk on Capitol Hill played any role in the stock market’s recent fall.
On Monday of last week, the Dow Jones Industrial Average ended up at 26,949.99 points. The impeachment inquiry was announced by Speaker of the House Nancy Pelosi the following day. Six days after that, at the opening bell on Monday morning of this week, the Dow was at 26,913.44 points — a drop from a week before, but a minimal one, to be sure.
Conversely, since opening bell on Monday of this week, the Dow Jones has dropped by more than 840 points, as of 11:30 a.m. Eastern Time.
Investors are worried, CNBC reported, but not over the possibility that Trump could be impeached or faces an inquiry from Democrats. Rather, investors are worried about a report issued by the Institute for Supply Management released this week that stated U.S. manufacturing levels fell to their lowest levels in more than a decade.
Other economic indicators remain on the minds of investors. Earlier this year, the yield curve between 10-year and 2-year U.S. Treasury bonds inverted, a sign that typically signals a looming recession. Indeed, the inverted yield curve, as it’s commonly known as, has preceded each of the last five recessions, Forbes noted.