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Not very merry: US stocks plunge before Christmas

26 December 2018

"There are plenty of people inside the White House who are not fans of Mnuchin who are happy to throw him under the bus".

This capped off a string of days in which the President first pleaded with and then complained bitterly about the Fed and its decision to raise interest rates.

Securities Disclosure: I, Olivia Da Silva, hold no direct investment interest in any company mentioned in this article. "Very talented, very smart person".

Last week in an interview with Bloomberg News, Mnuchin pointed to longstanding phenomena to explain the stock market's recently volatility. They added: 'Mnuchin is under the gun'. Part of Trump's frustration with Powell has been the Fed chair's announcement last week of another hike in the benchmark interest rate, which caused markets to tumble.

Global stocks have swooned in December amid a swirl of controversial statements from President Donald Trump and growing unease over the global economy.

Those statements have flouted that longstanding practice of U.S. presidents avoiding direct commentary on the Fed out of respect for central bank independence.

This story has been published from a wire agency feed without modifications to the text.

Nothing has been formally scheduled. This dynamic is why congress passed the $750 billion TARP bill in 2008 (Troubled Assets Relief Program), because Wall Street proved themselves to be so interconnected that all it took was one bankruptcy to halt all lending amongst America's largest banks.

"Yes I do", Trump said when asked whether he had confidence in Mnuchin.

Specialist Jay Woods works on the floor of the New York Stock Exchange Wednesday Dec. 26 2018. Stocks are opening strongly higher on Wall Street Wednesday with real estate raw materials and energy stocks leading a broad rebound from Monday’s steep
Trump once boasted of market gains, now tweets cause drops

An administration source dismissed the latest round of rumors that the secretary's continued tenure was on the line.

"But what's bad is this made the papers, and says the government is very anxious", Krosby told the paper, adding that with investors focused on so many issues, "it's nearly as if gravity is pulling this market toward a lower level before it bottoms out". Eastern Time. The Dow Jones Industrial Average climbed 71 points, or 0.3 percent, to 21,863.

High on the laundry list was the Democrats, whom he blamed for a partial government shutdown which dragged into its fourth day - paralyzing key federal services such as national parks - with no end in sight. "The Fed is like a powerful golfer who can't score because he has no touch - he can't putt!"

Trump's ongoing trade war is also problematic, a point that Ed Gerwin, a senior fellow for trade and global opportunity at the Progressive Policy Institute, told Salon by email in July.

Mnuchin's attempts over the weekend to assure investors only seemed to make matters worse as the confusing signals from Washington sent the markets plunging.

"The only problem our economy has is the Fed", Trump tweeted Monday.

After Monday's Wall Street losses, Asian markets followed.

What's often referred to as the most wonderful time of the year proved otherwise for USA markets last week, with the Dow Jones Industrial Average (INDEXDJX:.DJI) seeing its worst weekly performance since October 2008 - or in other words, the Great Recession. Trump's constant threats to infringe upon the sovereignty of the Federal Reserve aren't helping, and the Christmas Eve crash began the moment this tweet was sent out. The markets will only be open half a day on Monday due to Christmas Eve.

USA government shutdown could stretch to Thursday
The House and Senate gaveled into session for a few minutes on Christmas Eve before quickly closing again with no further action. Senate Democratic leader Chuck Schumer voted for the Secure Fence Act, which passed the Senate on an 80-19 vote.

Not very merry: US stocks plunge before Christmas