Posted on 03/10/2025 7:04:14 PM PDT by lasereye
The White House on Monday downplayed the weeks long stock market sell-off, insisting that recent moves by business leaders suggest a brighter outlook for the U.S. economy.
“We’re seeing a strong divergence between animal spirits of the stock market and what we’re actually seeing unfold from businesses and business leaders,” a White House official told reporters Monday afternoon.
“The latter is obviously more meaningful than the former on what’s in store for the economy in the medium to long term,” said the official, who was granted anonymity.
In economics, the term “animal spirits” is used to describe situations where human emotions, rather than pure logic, dictate investors’ decisions.
The White House appeared to be using the term to suggest that the sell-off was being driven by irrational fears and negativity.
The Dow Jones Industrial Average fell nearly 900 points Monday and the Nasdaq clocked its worst session since 2022, while the S&P 500 lost 2.7%.
The dismal trading day extended and intensified a sell-off that has now entered its third week.
But experts pointed to several factors driving investors to shed stock, chief among them, massive 25% tariffs on imports from Mexico and Canada. President Donald Trump imposed and then paused these tariffs last month, only to re-impose and partially pause them again last week.
Compounding the uncertainty around Trump’s trade policy are the mass firings of thousands of federal employees, an effort being overseen by billionaire Trump adviser Elon Musk.
The result was an abrupt reversal of the aggressive optimism and high risk tolerance that helped drive huge market gains late last year.
(Excerpt) Read more at cnbc.com ...
Waiting for dead cat bounce.
Good luck wid dat
Trillions of dollars in the red....tax cuts promised...no taxes on social security and tips promised...stagflation ahead.
Well times have changed.
When all the well-off people rely on their huge stock profits to fund their high living, it is highly likely that a recession will occur.
And you want it and are rooting for it Never tru.per. you traitors are a cancer om fr.
Valuation was out over its skis, the tariff effects are not predictable, and markets hate the unpredictable. This correction is needed. Things will be sloppy until the tariff thing is digested.
It sure is taking a long time to refill Fort Knox for the Gold audit, too.
All good points.
Gold...Silver...Brass....and lead.
Cowboys should be stocked up in brass and lead,
20% chance of a recession. If you had 20% rain chances…more than likely you ain’t getting a drop.
If Trump thinks that his tariff policies are the best thing for the country, he needs to *ignore* market gyrations and proceed full speed ahead. If you adjust your policies everytime the market has a hiccup, you will accomplish nothing over the long term.
You’re seeing a reallocation of investment.
“weeks long” = about three weeks. For income investors, there are real bargains appearing.
Manufacturing jobs were averaging losses of 9k per month all last year.. gained 10k trumps first full month in office.
Not a word about that in the media but the stock market headlines everywhere
CPI and PPI come out this week. Could be good, could be bad.
Valuations were stretched so a correction was needed. That said, hard to see any catalysts for quick recovery right now.
“there are real bargains appearing”
************
I was able to pick up a couple of shares of a stock that I was patiently waiting to buy. The good ones tend to awarded high multiples that suppress returns and drive down the dividend yield. Good stocks don’t go on sale too often.
Every dip in history has been a great buying opportunity
He wants a recession so he can obtain lower interest rates.
So do I choose my country or my portfolio?
If young people don’t care about their future, why should I?
the market goes up, the market goes down ...
remember the gigantic market crash due to the covid panic just a few short years ago? ... the perfect buying opportunity, actually, as the “distillation of sentiment” was actually just the herd panicking as usual, and those with wisdom enough to NOT panic, but instead evaluate the situation rationally, were able to literally buy some of the bargains of the century as they scooped up the babies from the bathwater ... and since then, the market has had a nearly continuous rise ... personally, my “babies” have tripled in price since then ...
see how that works? ... market goes up, market goes down, the herd panics, the smart folks scoop up bargains, the market rises ... rinse and repeat ...
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