Donald Trump is not exaggerating when he calls the stock market crash a “Kamala crash.”
President Biden’s economic policies, which would continue if Kamala Harris wins, along with their mistakes on the world stage, have created a dangerous mix.
What caused the panic?
One big reason was bad job numbers. The July report showed the U.S. added only 114,000 new jobs, much lower than expected. The unemployment rate rose to 4.3%, a three-year high.
Previous months’ job numbers were also revised down, showing this isn’t just a one-time issue but a worsening trend. This news increased fears of a U.S. recession and caused the stock market to drop.
Harris supports policies against carbon fuels, which will affect the power needed for AI computers, a key driver of stock market optimism.
Another issue is the massive spending by the Biden-Harris administration. They have made $7 trillion a year in federal spending normal, with $2 trillion of that borrowed. This spending helped keep the economy running but also caused high inflation. The Federal Reserve had to raise interest rates to control inflation, hurting the job market and now the stock market.
Meanwhile, everyday people, whose wealth isn’t tied to the stock market, have been struggling for years.
The Biden administration has also shown weakness to tyrants from Kabul to Moscow to Tehran to Beijing, leading to wars in Europe and the Middle East and the risk of another in East Asia. This further shakes the confidence of international markets.
As Kamala’s chances of winning increase, the market is reacting to the possibility of more years of problematic policies.
Make no mistake: Kamala and her fellow Democrats support these economic policies that are hurting the nation. Voters will remember this when they vote this November.