How the Stock Market Reacts to Trump’s Second Term
Since Donald Trump’s inauguration in 2025, the U.S. stock market has lost $4 trillion, marking one of the most significant downturns in recent history. Investors are increasingly concerned about economic instability, political uncertainty, and potential shifts in trade policy.
In contrast, during his first term, the stock market experienced steady growth, fueled by tax cuts, deregulation, and stimulus measures. However, this time, the market’s reaction has been dramatically different, raising questions about what lies ahead.
While some analysts expect stabilization as the economy adjusts to new policies, others fear that the decline may continue, leading to prolonged volatility.