(Finance) – President Donald Trump admits not to exclude the recession and Wall Street stock exchange sinks dragged by Nasdaq (-4%) with Nvidia, Apple And Microsoft. Crash also of Tesla (-15%) which burns over 100 billion on which the drop in sales in China weighs (-49%).
The start of the week was therefore negative for Wall Street, with the three main indices that zeroed the earnings recorded after the American presidential elections in November.
Trump, to a question if you expect a recession this year, arrived yesterday during an interview on Fox News, Trump said: “I hate to predict such things. There is a transition period, because what we are doing is very big”. The words of Tycoon have also weighed on the bond market. The Treasury returns at 10 years fell by 6 points base to 4.24%. The yields of 2 -year securities, which are the most sensitive to the prospects of the Fed monetary policy rate, have decreased like 6 points basis for 3.94%.
The White House tries to minimize the collapse of Wall Street claiming that there is a difference between the bag and the business situation in the United States.
“We are witnessing a strong divergence between the animal spirits of the share market and what we are actually seeing happening by companies and corporate leaders, and the latter is obviously more significant than the first because it concerns what the economy reserves in the medium and long term”, said in a note through its spokesperson, Kush Desai.
The turbulence could also continue this week, since there are several important economic data: the most important appointment of the week is tomorrow, Wednesday 12 March, when the index of the FEBRUARY CONSUMER Priceswhich will include the first month of the Trump administration since he returned to the White House in late January. It will be one of the latest important data that the Federal Reserve He will receive before his next meeting of 18-19 March, after a series of not brilliant readings for the US economy. Last Friday, the official report on the monthly jobs showed an addition of 151,000 jobs in February, slightly below expectations, with the unemployment rate that went up to 4.1%.