①On Wednesday local time, U.S. President Trump downplayed the recent sell-off in U.S. stocks during his speech at the World Economic Forum in Davos, Switzerland, while taking the opportunity to promote his strongly bullish stance on the U.S. stock market; ②Trump predicted that the U.S. stock market would double within the next year, and described Tuesday's drop in the S&P 500 Index as 'insignificant' compared to the cumulative gains since he took office.
Cailian Press, January 22 (Editor Bian Chun) Recently, amid renewed calls to 'sell America,' volatility in the U.S. stock market has intensified. On Wednesday local time, U.S. President Trump downplayed the recent sell-off in U.S. stocks during his speech at the World Economic Forum in Davos, Switzerland, while taking the opportunity to promote his strongly bullish stance on the U.S. stock market.
Trump predicted that the U.S. stock market would double within the next year. He also stated that Tuesday’s decline in the S&P 500 Index was 'insignificant' compared to the cumulative gains in the U.S. stock market since he took office.
Trump also noted that positive economic news used to drive stock market gains (as it should), but pointed out that the market now often falls even when data is favorable.
Notably, Trump’s extreme optimism starkly diverges from the consensus among institutional analysts. While he boasts of a 100% increase in the U.S. stock market, Wall Street analysts’ median forecast for the S&P 500 Index this year projects an increase of only about 11%.
During his speech, Trump also stated that he would not seize Greenland by force. 'People think I would use force; I don't need to, I don’t want to, and I won’t use force,' he said.
Trump’s remarks pushed U.S. stocks higher immediately. The S&P 500 Index, Dow Jones Industrial Average, and Nasdaq Composite all rose more than 1% after his speech.
The previous week, the possibility of a conflict between the U.S. and NATO member states had unsettled investors, and Trump's tariff-related and trade war comments on the issue directly triggered a 'sell America' wave in the markets on Tuesday. On that day, the S&P 500 Index plummeted more than 2%, marking its largest single-day decline since October last year.
Trump has repeatedly called on investors to buy U.S. stocks through social media posts and public speeches. For example, in April 2025, just hours before announcing a suspension of high reciprocal tariffs on dozens of countries, Trump posted on Truth Social, 'Now is a good time to buy,' which subsequently drove a sharp rally in U.S. stocks, with the S&P 500 Index surging 9.5% in a single day.
Trump’s direct calls to 'buy' U.S. stocks have sparked significant controversy. Some have questioned his actions, arguing that they amount to market manipulation.
Editor/Liam