Jack Welch, former CEO of General Electric (GE) said on Monday an impeachment of Trump would blow the market away. It should be made known that in his retirement Welch has become a bit of an ideological extremist, and has made many whacky partisan statements in the past in order to advance his ideological agenda.
On Monday, when the market was down, Welch made that assertion. Since then the markets have recovered some of its losses. So the question is, would Trump’s impeachment blow away the markets as Welch has decried.
In my opinion, the answer is no. There probably would be some temporary instability in the market, as I don’t imagine Trump would go peacefully into the night. Trump would probably have to be subdued and physically removed from the White House. But once removed from office, I think the market would regain any loss incurred during the transition, and in the end the market would be stronger.
Pence would become POTUS and without a madman in the White House, Republicans would stand a much better chance of moving their legislative agenda through Congress, and they wouldn’t lose as many seats in the interim elections next year.
I think it’s just a matter of when Trump is impeached. It’s not a matter of if. Given how extensive Trump’s Russian connections are and Trump’s efforts to suppress investigations, I wouldn’t expect an impeachment before year end. But in 2018, it’s a new ballgame. It could occur at any time. I expect we would see Trump’s men begin to fall before Trump is impeached. I think it likely we will see charges brought against Flynn, Manafort, and others in the first half of next year.
So will Trump's impeachment blow away the markets as Welch asserts?
On Monday, when the market was down, Welch made that assertion. Since then the markets have recovered some of its losses. So the question is, would Trump’s impeachment blow away the markets as Welch has decried.
In my opinion, the answer is no. There probably would be some temporary instability in the market, as I don’t imagine Trump would go peacefully into the night. Trump would probably have to be subdued and physically removed from the White House. But once removed from office, I think the market would regain any loss incurred during the transition, and in the end the market would be stronger.
Pence would become POTUS and without a madman in the White House, Republicans would stand a much better chance of moving their legislative agenda through Congress, and they wouldn’t lose as many seats in the interim elections next year.
I think it’s just a matter of when Trump is impeached. It’s not a matter of if. Given how extensive Trump’s Russian connections are and Trump’s efforts to suppress investigations, I wouldn’t expect an impeachment before year end. But in 2018, it’s a new ballgame. It could occur at any time. I expect we would see Trump’s men begin to fall before Trump is impeached. I think it likely we will see charges brought against Flynn, Manafort, and others in the first half of next year.
So will Trump's impeachment blow away the markets as Welch asserts?