Donald Trump warns of stock market crash if defeated in 2024

As the 2024 US presidential election looms on the horizon, Donald Trump is back in action, and he doesn’t hesitate to use controversial methods to try to secure his re-election. In a recent message posted on his social network Truth Social, the former White House tenant brandished a catastrophic scenario. He predicted that if defeated, the country would face a historic stock market crash with devastating consequences.

Donald Trump's stock market crash

A bold parallel to Black Thursday in 1929

To support his apocalyptic scenario, Donald Trump specifically refers to Black Thursday, October 24, 1929. The New York Stock Exchange experienced a collapse of more than 12% in a single session, bankrupting thousands of investors. This event marked the beginning of the Great Depression, the Great Depression of the 1930s.

By raising the specter of such a stock market crash, Trump is trying to present himself as the only bulwark against the abyss. According to him, the stock market is high right now only because people believe and expect him to win the 2024 election.

A risky strategy in the face of economic difficulties

Clearly, such a parallel is more a matter of political strategy than serious economic analysis. There is no indication that the election of Joe Biden or any other candidate will cause the stock market to crash as sharply as it did in 1929.

However, this alarmist statement comes in an already degraded economic context in the United States. With record inflation, the threat of a recession in 2023, and the end of ultra-accommodative Fed policy, some investors fear a possible stock market crash.

Donald Trump’s Chances of Winning in 2024?

Despite his boasting, there is no guarantee at this stage Donald Trump he manages to win the Republican nomination and then defeat his Democratic opponent in 2024. His current legal troubles seriously threaten his chances.

Therefore, these apocalyptic predictions seem very risky. Although markets anticipate and integrate economic policy into their valuations, prices are driven by a number of other factors. There is no sign that Wall Street will collapse under the new president.

Through this alarmist news, Donald Trump is attempting a risky political move to ensure victory in 2024. However, by irresponsibly waving the red rag of the Great Stock Market Crash, he poses a threat that could backfire on him. Especially if the markets were to take the opposite view of his dire predictions. His chances of re-election in the United States remain uncertain in any case. His most ardent admirers are now hoping that this release will not be a complete flop.

Maximize your Cointribune experience with our “Read and Earn” program! Earn points for every article you read and get access to exclusive rewards. Register now and start reaping the benefits.

The world is evolving and adaptation is the best weapon to survive in this wavy universe. Essentially a crypto community manager, I am interested in anything directly or indirectly related to blockchain and its derivatives. To share my experiences and raise awareness of a field that fascinates me, there is nothing better than writing articles that are both informative and relaxing.

DISCLAIMER OF LIABILITY

The comments and opinions expressed in this article are solely those of the author and should not be considered investment advice. Before making any investment decision, do your own research.

Leave a Comment