Trump claims ‘The Trump Rule’ is in effect as markets drop despite strong economic data

WASHINGTON, DC: President Donald Trump on Tuesday, December 23, expressed nostalgia for "the old days," when positive economic reports triggered significant stock market rallies. Trump argued that a new pattern, which he calls "The Trump Rule," has taken hold, where the market now tends to "stay even, or go down" despite strong data.

The president used a social media post to detail his frustrations with modern market behavior and the influence of Federal Reserve officials.

Trump blames Wall Street for muted market gains

Trump shared his view that "In the Modern Market, when you have good news, the Market stays even, or goes down, because Wall Street’s “heads” are wired differently than they used to be."

He believes the direct link between growth and gains has been severed, noting that "In the old days, when there was good news, the Market went up."

Now, he claims the opposite occurs "because everybody thinks that Interest Rates will be immediately lifted to take care of “potential” Inflation," a cycle he believes "means that, essentially, we can never have a Great Market again."

Trump calls for rate-cutting Fed chairman

These remarks followed a Commerce Department report showing the economy grew at a 4.3% annualized rate, surpassing the 3.2% forecast by economists.

Trump credited his tariff strategy for the results, stating that the success was due to his policies and that things "WILL ONLY GET BETTER" in the coming year, in another Truth Social post.

He directed specific criticism toward the Federal Reserve and its chair, Jerome Powell, whom he has labeled Jerome “Too Late” Powell.

Trump emphasized that he wants a successor who will lower rates when the economy is thriving, rather than one who would "destroy the Market for no reason whatsoever."

Trump says inflation will resolve without rate hikes

The president concluded by advocating for a return to a system in which the nation is "rewarded for SUCCESS, not brought down by it."

Trump argued that "Inflation will take care of itself" and said the current approach of raising rates prematurely prevents massive economic leaps.

He claimed that allowing market rallies to continue "could lift our Nation by 10, 15, and even 20 GDP points in a year, and maybe even more than that!"

Issuing a clear ultimatum for the future of the central bank, he stated that "A Nation can never be Economically GREAT if “eggheads” are allowed to do everything within their power to destroy the upward slope," and warned that anyone who disagrees with this stance "will never be the Fed Chairman!"