Stocks Close in on Bear Market as Trump and Mnuchin Fuel Christmas Eve Drop – Smart Media Magazine

Stocks Close in on Bear Market as Trump and Mnuchin Fuel Christmas Eve Drop

Wall Street extended its losses on Monday as President Trump continued to lash out at the Federal Reserve, and an unusual weekend statement about the health of America’s financial system by Steven Mnuchin, the Treasury secretary, unnerved investors rather than calmed them.

Stocks are experiencing their worst decline since the financial crisis a decade ago amid worries about, among other things, a slowing of corporate profits and the impact of a trade war on global growth.

Mr. Trump has become increasingly focused on the idea that the Fed chairman, Jerome H. Powell, is to blame for the markets’ slide after the central bank raised interest rates last week and indicated that it might keep doing so next year given signs of strength in America’s economy.

“The only problem our economy has is the Fed,” Mr. Trump said in a tweet during Monday’s trading session, a day after his aides scrambled to assure the public Mr. Trump would not try to fire Mr. Powell.

Instead of soothing investors, Mr. Mnuchin’s comments, along with Mr. Trump’s attacks on the Fed, added to a nervousness already running high as the stock decline continued to accelerate.

Asian markets on Tuesday followed Wall Street lower, led by Japan, which missed Monday’s stock drop because of a holiday. The Japanese market was down 4.6 percent mid-morning.

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