President Donald Trump used Twitter on Thursday morning to reward the current inventory rally.
“Stock market hits new excessive with longest successful streak in many years,” Trump tweeted. “Nice level of confidence and optimism — even earlier than tax plan rollout!”
It’s unclear what Trump was referring to in describing “the longest successful streak,” since there are quite a few measures for that, however in any case there has certainly been a large run-up within the inventory market because the election, with all three main indexes at document highs.
Most not too long ago, the Nasdaq composite index has set a record-high shut seven days in a row, which is the longest streak since 1999. Moreover, the S&P 500, the Dow Jones industrial common, and the Nasdaq have all hit closing information on the identical time for 5 straight days, the longest triple successful streak in 25 years.
The spectacular statistics do not cease there.
Shares haven’t seen a 1% lower since October 11, the longest such streak since at the very least 2006, although that began earlier than Trump’s election in November.
Lastly, shares are within the midst of the second-longest bull market in historical past, beat out solely by the run from 1987 to 2000.
Trump’s Thursday-morning tweet additionally cited a “nice degree of confidence.” There have been current highs within the two predominant measures of shoppers confidence, although they’ve slipped up to now month.
A few of this confidence was backed up Wednesday as retail gross sales, a extra “onerous information” measure of how a lot shoppers are literally spending, beat expectations throughout the board. There may be nonetheless a spot between the survey-based expectations, or comfortable information, and the onerous information that measures exercise, however indicators do level to elevated confidence.
The ultimate little bit of the tweet refers to Trump’s purported tax plan, which Trump cited at conferences with airline CEOs and retail CEOs. Trump has mentioned he desires to decrease the company tax charge to 15% from the present federal charge of 35%. He advised airline CEOs final Thursday that he was releasing one thing “phenomenal by way of tax” within the subsequent “two to a few weeks.”
Since Trump’s election, Wall Street has been anxiously awaiting the plan due to the chance that decrease tax charges might enhance earnings for companies.