President Trump has frequently pointed to the rising U.S. stock market as affirmation of his economic supergenius. But what the market giveth, it can also taketh away.
This week, stocks dropped sharply after the first congressional testimony of Trump's new Federal Reserve Chairman Jerome Powell. Why? Perhaps because investors interpreted his comments as raising the odds that the central bank will accelerate its pace of interest rate hikes. The result could be higher-than-expected borrowing costs and lower corporate profits.
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