We can definitely credit the President with the Lion's share of this one.
We were already looking at a 150-point rally in the Dow (on Mario Draghi's dovish commentary), but the following tweet explains the additional 250:
"Had a very good telephone conversation with President Xi of China. We will be having an extended meeting next week at the G-20 in Japan. Our respective teams will begin talks prior to our meeting."Well, if you're thinking short-term (I like the long-term prospects embedded in this morning's tweet), and looking for a big market pop this week, DANG (or maybe DANG)! I might've titled this one "The Potentially Untimely Headline of the Day"; as the President maybe shoulda held that tweet till after the Fed announcement tomorrow.
You see, the market's begging for (and Trump's demanding) a promise to cut rates this year, and when you add this morning's better than expected housing numbers to a massive rally in stocks -- while the bulls may still get what they long for tomorrow -- it certainly doesn't strike fear (inspire caution) in the hearts of the voting members of the Federal Open Market Committee...
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