Fast Track with QQQ: Navigating the Trump Administration's First 100 Days
Stock Market Prospects in Post-First 100 Days Trump Era - Onset of a New Bullish Trend? (Analysis of Technicals)
Just a hair over a fortune cookie's longevity - we're talking 'bout those 100 days of Trump's re-entry into the Oval Office. And while the whirlwind of activity and market chaos is something to behold, the Nasdaq, represented by the QQQ, is taking it all in stride, dropping mere pennies from its inauguration day price.
But let's dive deeper, folks. Investors took a hit as QQQ - the baby of the Invesco QQQ Trust - sank 9.5% in the first 99 days of Trump's second term (Jan. 20–April 28, 2025). That's a radical shift from the gains it saw in Trump's first sweep, and it ain't pretty. Why, you ask?
Well, the tariff tango between the US and other nations, particularly China, has sent jitters down Wall Street. Trade tensions have soared to their highest heights since the '30s, and investors are biting their nails over economic growth. The S&P 500 echoed these same sentiments, plummeting by a hefty 7.9% in that same period - a disheartening sight not seen since 1973.
To up the ante, the Cboe Volatility Index (VIX) shot through the roof, reaching a five-year high in early April. That baby reflects the uncertainty investors feel about trade policy and inflation risks - the perfect cocktail for market woes.
Comparatively, Presidents like Biden (2021) and Obama (2009, 2013) managed to boost QQQ by around 7.5%–8.5% in their first 100 days, while Trump's first term saw the index rise approximately 5%. The stark difference between Trump's initial pro-market policies and his second term's protectionist trade measures serve as a reminder of the complex interplay between economic policy and market performance. So buckle up, folks - we're in for a wild ride!
- The Nasdaq, symbolized by the QQQ, exhibited remarkable resilience, only dropping pennies from its price on the inauguration day of Trump's second term.
- Despite this initial stability, the QQQ, managed by the Invesco QQQ Trust, slumped by 9.5% in the first 99 days of Trump's second term, a shift starkly contrasting with its gains during his first term.
- The escalating trade tensions between the US and China, and the associated volatility in the market, caused the Cboe Volatility Index (VIX) to surge to a five-year high in early April, reflecting investors' uncertainty about trade policy and inflation risks.
- Historically, QQQ experienced growth of around 7.5%–8.5% in the first 100 days of Presidents like Biden and Obama, while only rising approximately 5% during Trump's first term. This disparity highlights the intricate relationship between economic policy and market performance.
