This is why the U.S. stock market "burning" a word because of the president of trump

Commercial pressures and threats, as they create economic growth has been in the list of plugins anxiety in investment in 2018.

1 / 3 today, President Donald Trump announced that the new tax on imports of aluminum and steel decreased, leading to strong stock exchange. A day later, the market index is still not what improvement. Drop Dow Jones witness. For four consecutive days to turn the last week of trading.

Although the basic elements of the decision power of the U.S. stock market are still very stable, investors think the threat from a commercial war created an uncertain, there are more serious worries about inflation and long-term growth prospects for the U.S. economy.

David kotok, chairman and chief investment office advisors Cumberland, confirmed: "at present, by this optimistic talent policy and monetary tax, the new president will be invited to the modern trump routing behavior to protect the white house".

Reuters also confirmed that the new president announced the trump made up of anger from the global leadership. The European Union (EU) and the main trade partner of the United States are ready to respond by taxing goods exported to the United States. Even so, on Twitter trump, the president also said: "the business is easy to win the war."

Mr. James, chairman of Norman, the hedge fund QS investors, believes that in the market reaction, "over the past few days, investors do not care about the specific action of trump president also noted that its influence to the American economy".

Immediately and tax plan, aluminum, and steel trump president also affect a material used by the company, has been reduced to 1,44% in the shares of Boeing. In the production of the enterprise, the company's stock, influence consumer healthcare and also by the new information sensitive reason.

Andrew Hunter, experts in the economics of economic capital in the United States, the price of steel, an increase of 20% since the year the government will increase tax revenue forecast. The moving areas need more iron and steel industry, such as machinery, automobiles, and construction. Even the United States, the factory moved to foreign companies, in order to avoid the negative impact of the tax increase.

A response to a threat, from business partners, are concerned, can produce global economic growth effect caused by the vicious spiral. The world stocks will certainly meet with setbacks, when the power of economic growth, promote the trade war in 2017, because of changes in the market. The pressure of inflation and the future of the low trust monetary policy also helps to 2017 very small.

However, a month ago, the motivation has been seriously eroded. Those who worry about inflation and lack of monetary policy with the increase of disturbance is considered to be the cause of exponential change. CBOE (VIX) level rose -12.82 percent worried about doing with the S and the P 500 index in 30 days.

This person does not necessarily become more serious, new trade policy can affect economic growth. This seems to be the reason for the change in the market these days.

In addition, the fate of Gary hole, the top economic adviser to President trump has not been decided yet. Politico said that when the president announced the new tax provisions of Trump - hole, and the other one is trying to persuade you to trump but not clear results. Last August, he left the White House, rumors in the hole because do not agree with the president of the United States to reduce trump securities