US stock market sees worst first 100 days under any president since 1973, what may happen in Donald Trump's next 100 days in tenure?

US stock market and the dollar ended Trump's first 100 days sharply lower as tariff-fueled chaos wiped trillions of dollars off U.S. asset prices. What will the second 100 days of President Donald Trump's administration look like?

Wall Street will probably be less volatile, but markets may be underpricing the downside risk, stock market expert Jamie Mcgeever was quoted by Reuters.

Even though many markets, including the S&P 500, hit record highs in the month after Trump's inauguration in January, U.S. stocks ended up having their worst first 100 days under any president since Richard Nixon's second term in 1973, and the dollar index ended the period down nearly 10 per cent, Mcgeever said.


Meanwhile, 12-month forward earnings forecasts for the S&P 500 continue to rise to new highs, nudging $280 per share. Keith Lerner, chief investment officer at Truist, estimates the near-term potential for the S&P 500 is no more than 5 per cent on the upside, and greater than 10 per cent on the downside.

Recent JP Morgan survey notes, even though investors may be hopeful for de-escalation in the trade war, they also fear "lasting damage" is being done by the administration's efforts to create a new world order. They also have "very little conviction on the (administration's) endgame" or which asset classes to own, Mcgeever said.

Low conviction, high uncertainty and fears of long-term damage don't make for a particularly bullish backdrop, even if the next 100 days are a lot less tumultuous than the first, as per the report.

FAQs

Q1. What are US stock market indexes?
A1. US stock market indexes are -- S&P 500, Dow Jones, Nasdaq.

Q2. Who is President of USA?
A2. President of USA is Donald Trump.