Whether you support him or not, Donald Trump stands out as one of the most impactful U.S. Presidents when it comes to the stock market. His trade policy decisions and participation in international matters, such as the Ukraine-Russia peace talks, continue to have a profound influence. Trump’s ability to move markets, often through his social media activity, is unparalleled, with his posts causing billions in fluctuations almost immediately.
Analysis from AltIndex reveals that Trump has disrupted the stock market at least fifteen times during his presidency. Let’s take a closer look at the key statements and social media posts that stirred financial markets.
Donald Trump’s 2018 “Trade Wars Are Good” and the “Nuclear Button” Tweets Caused the Worst Damage
While Trump’s tax cuts and pro-business policies fueled a stock market rally at the start of his presidency, his impact wasn’t always positive. According to AltIndex analysis, Donald Trump has shaken up the stock market at least fifteen times, with his statements moving billions and disrupting Wall Street overnight.
While the S&P 500 rose about 67% during his first election between 2017 and 2021, his unpredictable policies, especially on trade, created massive volatility. One of Trump’s most market-moving tweets came in January 2018, when he claimed to have a “bigger and more powerful” nuclear button than North Korea’s leader. Shortly after this shocking statement, S&P 500 and Dow Jones fell by 1.5% and 2%, respectively, as investors feared potential military conflict.
Just two months later, in March 2018, Trump tweeted that “trade wars are good and easy to win,” sparking a major sell-off in fears of economic fallout from trade tensions, particularly with China. The S&P 500 dropped nearly 2.5%, while the Dow Jones plunged around 2.9% on the same day.
He made several tweets criticizing Fed Chairman Jerome Powell throughout 2018 and 2019, again triggering market volatility. Trump`s 2020 tweets about COVID-19 also fueled panic in the markets, though his administration’s stimulus packages had a major role in market recovery.
Five years later, history repeats itself. Trump’s aggressive trade policies once again shook the stock market, causing the S&P 500 and the Nasdaq-100 to fall by 1.8% and 2.6% on the announcement day. At the same time, his controversial actions and statements have raised fears of stagflation, adding fuel to the fire.
From Controversial Politician to Donald Trump Stock Alerts
The Cboe Volatility Index (VIX), often called Wall Street’s “fear gauge” perfectly shows how the market acts during Trump`s presidency. Recently, the index soared to 27.7 in pre-market trading, high above its long-term average of 19.5, showing how unpredictable the Trump era is for the markets.
In such market conditions, getting timely and right information is more important than ever. Given his history of triggering market swings, AltIndex has developed Donald Trump Stock Alerts, a tool that monitors his announcements and social media posts that could impact the stock market. Whether it’s a new policy or a controversial statement, the AltIndex algorithm analyzes the news and its potential impact on stocks or the broader market, helping traders stay informed and ready to act.
