Published: Sat, December 29, 2018
Markets | By Erika Turner

Reasons the stock market is jittery

Reasons the stock market is jittery

Mnuchin later said Trump does not believe he has the power to remove Powell.

Trump on Monday renewed his criticism of the Fed, however, tweeting that the central bank was the "only problem" for the USA economy.

Despite that answer, reporters again asked whether that meant Powell's job was safe, to which Hassett - who heads the USA government's Council of Economic Advisers - responded "Absolutely".

US President Donald Trump says he has confidence in Treasury Secretary Steven Mnuchin, calling him a "very talented guy" and a "very smart person". USA government debt is approaching $22 trillion.

USA stock futures fell on Monday, giving up slim gains from earlier as volumes picked up, with investors digesting a slew of news from Washington over the weekend amid the benchmark S&P 500's worst December since the Great Depression.

Before the re-opening of the American exchanges this Wednesday afternoon (15.30 CET) recommends the President of Donald Trump to use the last of the fallen classes of the stock purchase.

Mnuchin held a call with big bank CEOs on Sunday following the turbulent week on Wall Street.

His comments came after Mnuchin on Monday held a conference call with US regulators to discuss plunging USA stock markets.

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The White House would have to notify Congress if it wanted to cut or reallocate aid, which could delay or complicate the process. Sons of Anarchy star, Danny Trejo , finds President Trump's border wall plan to be a waste of money.

Among many other tweets about the market and economy, Trump has directly attacked the Federal Reserve, a practice avoided by other recent presidents in order to keep the Fed walled-off from politics. A partial government shutdown this week is raising concerns about Washington's ability to find bipartisan solutions to pressing problems.

"But what's bad is this made the papers, and says the government is very anxious", Krosby told the paper, adding that with investors focused on so many issues, "it's nearly as if gravity is pulling this market toward a lower level before it bottoms out". And while banks were at the center of the downturn a decade ago, the current market slide has been more due to trade fears, monetary policy and political uncertainty.

On Sunday, Mnuchin asked the heads of major financial institutions during a conference call whether they had enough liquid cash on hand to endure the coming rate hike.

Mnuchin didn't clear either move in advance with Trump, according to an administration official, who said the Treasury secretary acted under his normal authority.

Trump reiterated his view that the Federal Reserve is raising interest rates too fast, but called the independent agency's rate hikes a "form of safety" for an economy doing well.

Investors were also unnerved by weekend news reports that Mr Trump had asked about the possibility of firing Federal Reserve chairman Jerome Powell, accounts that Mr Mnuchin said Mr Trump has denied.

Thus, Mnuchin's statement caused many to worry whether Mnuchin's statement indicated that the Secretary of the Treasury may, in fact, have information about the banking sector that SHOULD cause concern.

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