In a recent commentary, President Donald Trump expressed nostalgia for a time when positive economic news would lead to increases in the stock market. However, he lamented that this is no longer the case, referring to what he calls “The Trump Rule,” which suggests that the market remains stagnant or even dips in response to favorable economic data.
Trump attributed this shift to the concerns of contemporary Wall Street traders, who, he claims, are primarily focused on potential reactions from the Federal Reserve regarding interest rates. In a post on Truth Social, he elaborated on how the current market reacts differently compared to the past. According to Trump, good economic news nowadays leads traders to speculate about interest rate hikes aimed at curbing potential inflation, which in turn stifles market growth.
His remarks came shortly after the Commerce Department disclosed that the U.S. economy had grown at an annualized rate of 4.3% from July to September—marking a significant two-year quarterly high and surpassing economists’ predictions of 3.2%. Trump took to social media to claim that his tariff policies were responsible for this positive economic development and assured followers that conditions will only improve as the year 2026 approaches.
At the time of his post, major stock indices, including the Nasdaq, S&P 500, and Dow Jones, had registered a slight increase of 0.30%. Trump also voiced his desire for the next chair of the Federal Reserve, who will take over from Jerome Powell, to adopt a more market-friendly stance by lowering interest rates instead of hindering market progress unnecessarily.
Trump has frequently criticized Powell, branding him as “Jerome ‘Too Late’ Powell” for not responding promptly to the economic situation in his perspective. In his continued commentary, Trump asserted that he envisions a market that thrives on positive economic indicators and falters only with negative news, insisting that inflation can be managed effectively at a more appropriate time. He argued that damaging market rallies could severely limit the nation’s potential to see significant GDP growth, claiming that the country cannot achieve economic greatness if academic experts are allowed to dictate policies that detract from upward momentum.
He further emphasized his belief that the U.S. should be rewarded for success rather than penalized for it, adding that those who oppose his views will never be considered for leadership roles within the Federal Reserve.
