Trump dumped the stock market to get bond yields to go down expecting Powell to drop rates
Bond yields went up, Powell doesn’t drop rates
For every 1% bond yields move down, the USA will save $300 billion per year in debt refinancing
Since inauguration the market has dropped $10.2 Trillion
To save $300 billion the market lost $10 Trillion
So far, we haven’t even saved the $300 billion and the instability has actually pushed up the cost of refinancing by $200 billion per year
So basically, everyone lost a lot of money and the price of debt got higher.
Not only that but China and America are now in an official trade war which will significantly damage global trade
Many American businesses rely on Chinese manufacturing as US manufacturing is too expensive.
If these China tariffs are here to stay, so is the bear market.