Donald Trump has so many problems right now, we’re not even sure where to start. His poll numbers are atrocious. His scandals are worsening. House Democrats are uncovering more pieces of the puzzle. The Taliban just made a fool of him. Now he’s blaming Iran for an attack on Saudi Arabia that may not even have involved Iran. Tonight, Trump appears to have another kind of problem on his hands.
We keep seeing a pattern where investors instinctively drive the stock market higher because there’s still some life left in the Obama economy, but then Donald Trump does something to remind investors that he’s the president now and he’s an idiot, and investors begin selling off. That’s resulted in a churn cycle where each time Trump’s tariff idiocy sends the market plummeting, he then shuts up for a few days and it bounces back.
But while the stock market keeps trying to overcome Trump’s trade war failures, there’s one thing the market and the overall economy may not be able to survive: the sudden worldwide oil shortage caused by the attack on Saudi Arabia. As of right now, the Dow Futures are down more than 150 points and dropping. This is a signal that investors are worried about the shortage, and perhaps also about the inept manner in which Trump will approach the conflict politically.
These things can end up going either way, but if this overnight pattern continues until morning, we’ll be looking at a severe drop in the stock market when it opens. It’ll represent yet another problem for Donald Trump, on top of all his other cascading problems, at a time when he can’t afford for the economy to take a dump.
Bill Palmer is the publisher of the political news outlet Palmer Report