Investors Column The Trump Factor


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Money Matters

August 12, 2025 by Scott Crosby

Investors Column The Trump Factor

Whether you like President Trump or not, there is no doubt that he is a radically different President from anything this country has seen – definitely since Calvin Coolidge, and perhaps in the entire history of the U.S.  

He does not continue in any kind of status quo.  His appointments to Cabinet posts, ambassador posts or any other appointments are not due to the traditional posts of political cohorts.  They are people like Trump, who, right or wrong, have a very different opinion of what government ought to do.

And what government ought to do is to follow the maxim, “that government governs best which governs least.”

For investors, that makes for a radically different environment for businesses, and for the investors who buy and sell stocks.

The stock market at first, immediately after Trump’s inauguration was problematic, to say the least.  But Trump has stood firm in his ideals – again, whether you think he is right or wrong in what he is doing.

Markets hit highs in January, after Trump’s inauguration, then fell back.  It hit highs again a month later, in late February, and then fell back.  Uncertainty forced a cautious optimism – which meant an optimism that could not be sustained.  Markets advanced, and then fell back.

But the stock market of the past two months reflects the steady growth of confidence by investors that President Trump will continue make decisions and take actions that promote freedom – and most importantly, the freedom of a free market – the one freedom America’s Founding Fathers failed to understand should have been part of the Bill of Rights.

If you have been making investments during the past two months, you have been reaping the rewards of President Trump’s actions.  Particularly in July, the stock market has experienced a steady, uninterrupted improvement.  

Currently, the question is not, which stocks will make money?  But rather, which stocks will make you the most money?

There are, of course, still stocks that are losers.  And there are still stocks that are not growing in value.  

But in a time when business in the U.S. as a whole is experiencing success in sales and profits, the stock market reflects that fact.  

How long will this steady growth of stock prices continue?  The question is:  how long will President Trump continue to foster economic development and the personal well-being of millions of Americans?

The answer is likely to be:  until January 20th, 2028; i.e., the rest of President Trump’s time in office.

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