It’s safe to say that the market is pricing in some kind of political risk around the administration’s highly contentious decision to end DACA.
This was of course predictable (both the rescinding of the program and the political firestorm it will invariably engender), but this looks like a bridge too far for U.S. equities that are still catching up in terms of pricing in North Korea after the holiday weekend.
Here’s the S&P:
Same thing in the Nasdaq:
And VIX to session highs:
This seems to have really accelerated as Trump’s official statement hit..
JUST IN: Pres. Trump releases statement on decision to end DACA: "It is now time for Congress to act!" https://t.co/m6wf96tR97 pic.twitter.com/qEQWh9GBcT
— ABC News Politics (@ABCPolitics) September 5, 2017
Bottom line – as Bloomberg’s Michael Regan correctly notes – it’s just too much:
The situation in equities has deteriorated noticeably: the Dow is down more than 200 points, the VIX is up by 3 vols, yields remain at lows of the day and the dollar remains weak. We haven’t seen any fresh news to account for the worsening drop in stocks, but when you add up all the day’s headlines there is quite a gauntlet of worries for the market to get past at the moment.
Anyone know what nationalities these immigrants are? Just curious. Sessions could hardly keep the snarky smirk off this racist face while reading the decision.
Just like ObamaCare, Trump started all this crap because it came from Obama’s administration. Trump’s hate filled campaign rhetoric and his uneducated promises for “Day one!” and now, God forbid he lose any more of his sagging base support! There is something seriously wrong in this country when ONE IGNORANT MAN can make or break the laws and the People in Congress allow this Jerk to continue living in the White House!
that should be ” his racist face” in the first paragraph. sorry!
Murphy good post. Sessions is a pip-squeak armed with some bullsh*t legal backing and the snide little bastard is loving all of this racist garbage. What an amoral human piece of excrement. Throw Mein Fuhrer in with him and the ghosts of the “turd reich” come flying back. These people are way beyond dangerous and their enablers are just as bad.
Kinda makes you want to treat old white men like they treat everyone else. Or much worse.
This “decision” is the most ridiculous outrageous thing done so far since assface moved into the WH! Those Dreamers have all passed background checks and have only lived in America. This IS their country, they know nowhere else as home. These Old White Men are stupid fucking bigots. If they were reasonable and caring as they say they are, they would pass out citizenship documents right now – they have earned it – and let them get on with their lives! Oh, one more thing, they should apologize to every one of them!
Hi Me again….. watching CNN and something one of the talkers said…. assface passed off the decision to Congress, which is typical of him because he is stupid and clueless, and this is part that I wonder about — he is blackmailing them into giving him the funds for his stupid wall that 80% of Americans do not want — so they give him the wall and he lets them keep the Dreamers…that is what the 6 months is for – for them to decide. WTF??
Maybe his kingdom Mar-Shito will get blown off the map.