The “Trump Rally” Continues on Historical Stock Market Trajectory

thegatewaypundit ^

[davikkm]

The Dow Jones Industrial Average (DOW) hit new highs on Wednesday and Thursday, breaking the 20,000 mark for the first time in its history.

Check it out! I was on @foxandfriends talking #Dow20K! Find out if this @realdonaldtrump bump is headed higher! #markets #betterwithfriends pic.twitter.com/GAxukuZDfN

— Nicole Petallides (@NPetallides) January 26, 2017

This rally was historical for other reasons as well. Per our research this is only the 2nd time since 1937 when the Inauguration date was set at January 20th that the stock market hit two new closing highs in the four trading days after the inauguration. This occurred in January of 1965, shortly after Lyndon Johnson was sworn in as President and again this past week.

[raybbr]

Yellen will put a stop to this.

[lilypad]

Down a tad this morning perhaps due to the 4th quarter job stats

[ExTexasRedhead]

The current stock market rise is on top of Obama’s “hot air.” The RATs have been propping up the stock market for eight years. At some point, the real stock market numbers will have to emerge.

[trebb]

Perfect timing - one of my retirement investments has a guaranteed rate and also benefits when any quarter closes higher or when the market is higher on the 12 month anniversary, which is tomorrow.

[Old Teufel Hunden]

"It now looks like because of Trump America better get used to winning!"

Stop with all of the winning. I can't take it!!!!

[Old Teufel Hunden]

"The current stock market rise is on top of Obama’s “hot air.” The RATs have been propping up the stock market for eight years. At some point, the real stock market numbers will have to emerge."

IMO, one of the big reasons for the stock market rise in the past 5-6 years has been because of non existent interest rates. Investors have no other place to really put their money other than the stock market. As interest rates rise, some investors might flee the market and go into bonds/precious medals/CD's etc... but I think it will be off-set by an economy taking off. If you have emerging market funds, scrap that, go with U.S. small and large cap funds IMO!!!

[pgkdan]

Stop with all of the winning. I can't take it!!!!

Gird your loins! There's a lot more coming.

[CurlyDave]

When DJT frees American industry from the nonsense regulations which have proliferated so greatly, productivity will increase and justify higher equities values.

The other issue we need to confront is that the way to deal with the debt Obama piled up is through inflation. Free markets do this automatically. If we look at real, not government spun, inflation rates, I think interest rates have been negative for several years.

There are two components to the stock market rise. The “nowhere else to go” with investment money is only one of them, real inflation rates being greater than GDP increases is the second.

[Old Teufel Hunden]

"There are two components to the stock market rise. The “nowhere else to go” with investment money is only one of them, real inflation rates being greater than GDP increases is the second.

I agree. I also think some people will be scared off thinking this is a bubble and people will be fleeing the stock market once inflation is allowed to kick in and interest rates rise. I don't think so. As you say, companies will be freed from regulations and Obamacare, they will be investing and we are ready to unleash a monster. Our GDP is set to be huuuuuugge this year as Trump might say. It's going to be beautiful....

[bereanrabbi]

The rise is due to pro business money coming out of hiding now that the liberals are going away.