President Donald Trump Just Threw Fed Chair Kevin Warsh Under the Bus, and Things Could Get Ugly for Wall Street

Under President Donald Trump’s two non-consecutive terms, the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite have generated average annual returns higher than under most other presidents over the last 130 years. Investors have appreciated the Tax Cuts and Jobs Act, which reduced the peak marginal corporate income tax rate from 35% to 21% and led to record S&P 500 share buybacks.

However, Nasdaq Markets reports that not all of Trump's policies have been beneficial to the stock market. According to the Motley Fool, some of the president's policies are fueling inflation, which prompted Fed Chair Kevin Warsh and the Federal Open Market Committee to begin the fourth rate-hiking cycle of the 21st century. While Trump had previously refrained from criticizing his nominee Kevin Warsh, he has become a vocal critic of the central bank's monetary policy since the start of his second term.

Brief written by urgent.news from Nasdaq Markets, Motley Fool — 2 reports on this story. Machine-written — may contain errors; check the original before relying on it.