It took 3 years of a Trump presidency for the Dow Jones Industrial Average (DJIA) to climb from 19,827 on January 20, 2017 to an all-time high of 29,551 on February 12, 2020. Because of coronavirus, 3 years of stock market gains have been wiped out in a span of 3 weeks.
At the end Wednesday’s trading (March 18), the DJIA was down 1,338 points to close at 19,898.92, or just 0.8% higher than the day Trump was sworn in as president. The Dow is now down 30.2% since the beginning of 2020.
The stock market slupm continued just as JPMorgan Chase issued a report titled “The day the earth stood still,” which forecast that real annualized U.S. GDP would plummet to -4.0% for the first quarter of 2020, and then to a jaw-dropping -14.0% in the second quarter as a result of coronavirus economic fallout.
The S&P 500 (SPX) plunged 7% at midday, triggering a circuit breaker that halted trading for 15 minutes. That index is still above its Trump inauguration level, but it is closer to wiping out all of Trump’s stock market gains. The S&P, the broadest measure of Wall Street, closed down more than 5%.
These economic figures do not bode well for President Trump, who has been relying on a strong economy and stock market for his re-election in November 2020.