Markets Rally in Aftermath of Presidential Debate Brawl
With a little more than a month to go until the big day, and with Joe Biden continuing to maintain a healthy lead, the market’s hope for Trump being re-elected is fading.
For those who were hoping to avoid the pounding that their stock portfolios have in store for them should Joe Biden win the presidency, time is running out. The presidential debates which began on Tuesday evening are clearly the last hope to defeat the Democratic propaganda machine, which has thus far been unstoppable.
We may rightly wonder what would be enough to turn the tide in this election, given that everything that has happened thus far. If this was an election that is decided on the issues, if it were an election that the great majority of the media were just looking to report on and not engage in a constant smear campaign to do whatever it takes to prevent President Trump’s re-election, Joe Biden would not have a hint of a chance, as he isn’t just the worst presidential candidate of all time when viewed objectively, it’s how much worse he is than anyone else that is the scary part.
We cannot afford to let our emotions run wild as these two candidates did on Tuesday evening, and must consider the issues, particularly the ones that will affect the economy. There is far more on the line this time for the economy than ever, and with Biden admittedly declaring war on the stock market, it is not a matter of even questioning that it will take a big hit from a Biden win, it’s a matter of how bad the damage will be, which will at the very least be very significant.
Stocks don’t normally thrive in times of economic turmoil, even though 2020 has been a big outlier so far. Investors don’t even have to pay attention to these things if they don’t want to, and they can just choose to ignore the “real world” entirely and just keep bidding up stocks anyway, and we just saw perhaps the classic example of this in how well stocks have done in the face of the biggest economic downturn since the Great Depression.
With so many people thinking that the price of stocks have gotten well ahead of where they felt stocks should be valued, when you add in the Greater Recession of 2020, plus the prospects of the government being led by radical socialists that clearly have it in for stocks, the stock market still chooses its own course and does whatever it wants. However, there’s only so much bad news that the market can ignore, and it’s unimaginable how it could shrug off an all-socialist government should the Democrats gain control of all three branches of government, which at this point remains likely.
The stock market hates higher taxes, as does the economy, and while Biden has waffled on many issues, his commitment to raise taxes is unwavering. The only three things that we can be sure of is death, taxes, and Joe Biden putting them up. It is the Fed’s going all out with dovish monetary policy that has propped the stock market up all this time, simply because this is what the market has chosen to guide them, this is actually is grounded in the real world, but there’s only so much this can influence things in the face of such a big threat.
Oddly enough, the economy is seen as the biggest issue in this election by the voting public, but at the same time, this issue has remained clouded by the outrage that so many feel toward Donald Trump, which has prevented them from actually thinking about this issue and others and instead relying on all the emotion that the smear campaign against Trump has drummed up to decide.
We gave Trump little chance to overcome this, as the barrage that the left-wing media has unleashed upon him has been overwhelming, and if he has any chance, he will need to do a much better job at diverting the discussion back to the issues at hand. His performance in the first debate was disappointing in this regard, and he may have very well swung at strike three now.
Given that Biden is almost solely relying on attacking his opponent and relying on those who simply don’t like Donald Trump to join him, and given that these attacks go well beyond ridiculous if we simply think about them a little, if President Trump expects to get a second term, he needs to do his best to wash off all the mud that has gotten slung on him.
What we saw instead was a bar room brawl with both candidates trying to outdo one another with insults. Trump landed more substantive punches to be sure, and Biden was more like someone who you pull the shirt over the head during a fight where they swing wildly at nothing, but the aftermath still left Trump being attacked in a completely idiotic manner by the media.
It’s not that Trump didn’t do anything to defend himself against some of these air punches, as he did mention that if Joe Biden had been in charge during the early stages of the pandemic, at the point where Biden called Trump a racist for stopping allowing flights from China and later Europe when it became clear that this was a good idea. Trump claimed that there would be 2 million deaths, not 200,000, if Biden was at the helm, which may be an exaggeration but at least makes clearer how the two would have compared on this issue.
The Idea of Thing Being Under Trump’s “Watch” Needs to be Clarified
That still leaves us with the asinine idea that Biden and the left wing media are still trying to peddle, the one that blames everything that happens that is undesirable on Trump just because it happened “on his watch.” Someone needs to explain not only to Joe but to the American people the limitations of presidential power, and it’s absolutely scary to think that a candidate for president would be so unfamiliar with the job he is applying for.
Everything is seen as Trump’s fault, everything from every death from the pandemic, all the violence and looting and racism we’ve seen lately, the recession, and whatever else that you don’t like that happened “on his watch.”
The left-wing media is really going all out now and is taking this a few steps further, seeing Trump as not only the worst president of all time but so evil that comparisons to Hitler as well as other infamous leaders are now being invoked. Not a single one of their criticisms of Trump hold any water though and they are all in fact stoop to a level of stupidity beyond anything the world has ever seen.
Should Trump lose, while we may want to blame the media, including digital media, for our fate, the ultimate responsibility falls upon Trump himself, for his lack of effort in deflecting the vicious attack he’s been under in an effective enough way.
Trump got some very bad advice a while back when he was effectively distancing himself from the pandemic and the economic crisis, when his more sensible approach was starting to turn the tide. He ended up waffling on this and changed course to take some of this criticism upon himself, with things like his telling people that he locked down the country for instance, when he not only did not have any power to make these decisions but he was speaking out against them, by telling us that the U.S. wasn’t built to be locked down and we need to open things back up.
To make things worse, he now claims that his helping us to understand how overblown this issue was untrue but an attempt not to alarm people, saying now that he knew how bad this was but kept it from the public. He has painted himself into a corner on these issues now and is virtually out of bullets to shoot at this now.
This has left him open to attacks that he is somehow responsible for the pandemic, and the pandemic remains a big issue with this election, right up there with the economy. Trump actually did everything he could because his power is limited to interstate and international commerce, and no president has any say in matters within a state, which is entirely under the domain of state governments.
Trump not mentioning this and not pounding us with it in fact is inexcusable. Biden is trying to portray him as an evil god who not only makes all the government decisions but also rules over nature as well, and deserves full responsibility for it in fact. Far too many people are still buying this absurd view, and not defending himself enough has brought much of this upon himself.
In order to properly deflect accusations that he is responsible for the pandemic, it is also necessary to address the myths and the misinformation surrounding it out there. The first order of business is to address tactics like quarantining and wearing masks and ask what evidence anyone has that either of these do any good, which would help bring to light the fact that we have no science to show this, it is only assumed.
We cannot afford to just assume these things and we needed to actually be guided by science and not just vacuous propaganda. Trump appointed Dr. Atlas as an advisor on this, who does have a much more developed view of the actual science out there. With so much on the line, we would expect him to leverage this much more as well as relying on actual science, like the science that tells us that masks don’t work to prevent any virus, including this one, which we have years of studies to show. Not one has shown that this helps, and this idea actually fails by design, but they just assume what they want us to believe and we believe.
People Need to Understand What’s At Stake Here
Trump also needs to lean on economists more, to take the focus away from the one sided view that this is just about trying to limit the number of COVID deaths and ignore not only the economic carnage but all of the additional deaths and misery that lockdowns have produced. The fact that lockdowns have not been shown to save any lives and actually cause more deaths, in addition to the economic damage, needs to matter and be far better understood.
We also need to take a much closer look at how many of these 200,000 deaths were actually from COVID, and especially admonish the CDC for instructing doctors to list the cause of death as COVID regardless of what a person actually died from, where a large percentage of these alleged COVID deaths were clearly from something else. The U.S. death rate is above average because the numbers have been inflated by an above average amount, even though the practice of overestimating deaths by encouraging incorrect causes of death being listed is ubiquitous.
It is appalling to see how death rates from other causes have gone down so much, things like heart attacks and cancer, and it’s only because so many of these deaths are now included in the pandemic. Once we figure out how many actual deaths this pandemic has produced, we need to put this in perspective, where pneumonia deaths are still outpacing alleged COVID deaths in the U.S. even with all the fraudulent ones included.
Another big issue that we have grimaced about all along and one that particularly interests us as investors is the lack of explanation from the Trump camp on just how damaging Biden’s plan to raise taxes will be on our economy. This is a time to summon the ghost of Ronald Reagan so he can tell us again, including Trump, that corporations don’t pay taxes, people do. In a platform that is rife with dangerous goods, his corporate tax hike is right up there with anything, and this will result in not companies paying more taxes but everyday folks doing without, including many losing their jobs.
Nobel Prize winning economist Milton Friedman is surely rolling over in his grave, and Friedman showed clearly that any corporate tax is harmful to the economy. While governments need to fund their spending, this is the absolute worst way to do it. There’s also the issue of companies leaving the country on account of this that needs to be considered as well, and Trump did mention this, but given that so many do not believe anything he says, he needs to have this substantiated by experts so we may finally hear the tune.
The accusations of racism that are being wielded against him by Biden and the left wing mob also needs to be clarified, which like every other criticism just needs a little light to shine on it to expose the fraud behind it. Even if Trump holds racist beliefs, which have not been shown to be the case, none of his policies have been racist and that’s the only part that could possibly matter to those who are of sound mind, although so many of us these days are clearly not.
Trump at least scored a B on his handling of his Supreme Court nomination, but he could have done more with this as well in clarifying that the people have decided to give him this power, not by way of this coming election, but the one that counts now, the last one.
This and the other assorted nonsense like how much Trump is required to pay in taxes may not be related to the issue of the economy, but they are still weapons that are being used against the prospects of our continuing to thrive economically. There are even some in the media who are now proudly threatening Trump physically, as Biden did when he said if he was younger he would challenge him to a real fight.
We came close enough to a fist fight in Tuesday’s debate, but Trump really dropped the ball with his arrogance and contempt. Biden sought to match him blow for blow with this, and Biden’s performance also deserves to be in the angry arrogance hall of fame. We may have wondered if anyone could match Trump in arrogance, and Tuesday night we got our answer.
A calmer and more considerate approach would have been far better for either man, although Trump is much more in need of courting favor from the electorate given how much he is reviled by so many.
Trump really missed out when he failed to ask Biden how he expects to get all the money he is planning on spending, and even schooling him on the matter. Several of these questions could have been asked of Biden, especially the ones that have him so badly misunderstanding what a president can and can’t do.
Biden did take a few swings at Wall Street, but it must be made clearer by Trump who actually lives on this street, where a very high percentage of Americans will be putting their retirement plans at such risk if Biden does get his chance to crush the stock market and see him giggle in ignorance.
This would come at the expense of the idea that Biden will shut down the economy somehow, but this is a fake idea anyway and the we need to be actually basing our views upon the real world and not fairy tales, with Biden playing Peter Pan with Trump in the role of the pirate. This at least could be leveraged to make Biden look like a fool, and that’s exactly the sort of thing Trump needs to be doing more of.
Predictably, the left wing media which dominates the American media scene are declaring their boy Joe the clear winner in this debate, and if this bout came with a scorecard, their card would be 10-0. This is what Donald Trump is up against, and if Biden had become so worked up that he gave himself another brain aneurysm and lay unconscious on the floor during the entire debate, Biden would not only win, they would be calling for Trump to be arrested for assault casing bodily harm.
Looking at the rationale that they use with any sense of rationality portrays a majority that has been led by the hand into madness in a manner that only the truly mad would fall for. Giving the power to the media to choose our government is scary enough, but their showing off so much by putting a demented man from a party of political radicals in the White House requires being close to omnipotent.
Wednesday was an up day for the market, which took a hit lately as the day of reckoning has grown closer. In spite of his spin machine fully hypnotizing so many of us, if this debate influenced anyone, it surely did not make Biden look good. It did portray Trump at his worst as well though. Given how much of a popularity contest this is, he seriously needs to fix this if he has any hope. It may already be too late.
Editor, MarketReview.com
Eric has a deep understanding of what moves prices and how we can predict them to take advantage. He also understands why so many traders fail and how they may help themselves.
Contact Eric: eric@marketreview.com
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