President Trump has been boasting about the surge that has been seen in the stock market after the elections. After being silent on Twitter for the past some time, this Thursday, Trump tweeted about how the economy is doing currently.
Since the day of the election and from the two days prior to it, the industrial average of Dow Jones has been gradually going up. This increase has been witnessed since the year 2016, but since 8th November, there has been a dramatic increase.
This kind of rise had been since during the Herbert Hoover’s election. The surge for the 76 days when the markets were functioning was comparatively favourable to the time after former president, Barack Obama won the elections in 2008. However, we cannot blame Obama for this, as his election had taken place at the time when the United states was facing the crisis and challenges of the Great Recession.
Both Trump as well as Steve Mnuchin who is the Treasurer Secretary have contributed to the cause of this surge.
In all the runs of 76-day that have taken place in the history of Dow, this recent 76 day run has obtained the rank of 2244 out of a total of 31186 and has secured itself in the treasured 93rd percentile. However, if we consider the ones that have taken place after the year 2000, this makes the 98th percentile with a rank of 83 out of a total of 4317.
But the fact cannot be negated that during the phase of the timeline going arbitrary, the run of president Donald Trump has been quite impressive and significant.
When Hoover had won the elections in the year 1928, the market had expanded drastically. But by the month of October in the year 1929, the market had suffered a major blow. The impact on the economy of the Unite States was so great that the country had undergone a state of the Great Depression.
Trump has also openly accepted the credit for the prices in Dow. If past dates are seen,the market usually goes up but an exception was seen in the years 1997 and the year 1933, when the market dropped. But in the year 1933, the market gad recovered from the drop and rebounded successfully.
It is alright if Trump wishes to take credit for all the gains that the market has been recently making, but the success of the Dow cannot be entirely credited to the presidency and the election of Donald Trump.