INSANE market action right now. Market exploded higher on a headline attributed to Kevin Hassett. And now nobody can figure out where it came from and the markets are diving again.
— Joe Weisenthal (@weisenthal.bsky.social) April 7, 2025 at 8:25 AM
Asian and European markets got slammed today, and the U.S. stock market followed them down at the open. But then, out of nowhere, hope emerged from the propaganda regime site, and the so-called rational market decided to rid itself of that moniker in actual smart money’s eyes forever. The S&P 500 giga-pumped instantly on this fake news.
This is not real. Fake news according to CNBC and Trump’s Press Secretary. White House Economic Advisor Kevin Hassett did not say this, and a clip exists of what he actually said on Fox News. This Walter Bloomberg account (who purchased it from the original owner a while back) seemed to take Hassett saying “y-you know” as confirmation that yes, an entire economic regime put in place in the White House Rose Garden not even a week ago had been overturned overnight, and the biggest news in the world was being announced by a second-rate administration talking head as an aside during Fox News’ morning show.
In a normal world, a post from an attention-seeking account on the attention-seeking social media site would be the opposite of news, but we don’t live a normal world. We live in a world where fake news can create a wildly unprecedented rally in an instant, and then erase it as market participants yet again are forced to accept that their belief in daddy Trump as a market savior is more naïve than children’s faith in the tooth fairy.
It is difficult to find a better metaphor for our current moment than so-called smart money believing fake news from the propaganda regime site, and then costing themselves a lot of money by doing so. This kind of extreme swing is really bad for markets, as it takes out leveraged bull and bear positions, and just generally creates a kind of chaos that benefits no one except for market makers pocketing more fees from increased volume. It’s destruction for destruction’s sake. Markets remained elevated afterwards, undoubtedly coping with the fact that they just proved they would pump hard off an actual bullish headline.
Ironically enough, they soon received the opposite as Trump announced another 50 percent tariff on China, elevating the tax on the core engine of global trade to a staggering 104 percent. Somehow markets did not fall harder off of this real news straight from the jackass’s mouth. It seemed to barely notice it and as I write this, is shrugging it off and melting up if anything. If you look close enough at the Nasdaq intraday chart, you can see it spell out the word delusional. Markets today are proving that many of their participants prefer to trade on fake news than the real thing.
We are well through the looking glass, folks. American society was fundamentally broken in a million different ways long before Trump was sworn in on January 20th, but we have really lost our minds to a new and unhinged degree. Trump is now exacerbating all our existing problems while creating a new set of them with his autocratic regime run by the dumbest mammals to ever exist. We are trudging through of the most horrific informational environment in mankind’s history–cavemen knew more about modern society than someone who spends all day on Twitter–and today proved that there are still billions if not trillions of dollars that are willing to rush into an assumption based off of one all-caps tweet from a non-Bloomberg account named Bloomberg on Twitter. It is near-impossible these days to find any examples that anyone in American elite society has any idea what they are doing.
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