On the start of Tuesday's trading session, US markets were in the green, disregarding the impeachment article filed by Representative Al Green against President Donald Trump. Investors appeared to be focusing on signs of de-escalation in the Middle East.
Market Trends
The Dow Jones Industrial Average rose by 309 points, or 0.7%, while the S&P 500 and Nasdaq Composite each gained 0.7% and 1%, respectively. Shares of Trump Media & Technology Group Corp climbed 2%, and two pro-Trump meme tokens, 'Official Trump' and 'Melania,' each rose 5% over the past 24 hours. Oil prices have continued to decline, posting two consecutive days of losses.
Market Reaction to Impeachment
Markets reacted positively to President Trump’s statement asking for a ceasefire between Iran and Israel, despite accusations of constitutional violations. The current market calm is somewhat reminiscent of the situation during Trump’s first impeachment in 2019, when investors also minimally reacted to the threat of impeachment.
New Impeachment Article and Its Implications
The newly filed impeachment resolution by Representative Al Green questions President Trump's authorization of U.S. airstrikes on Iranian nuclear facilities, citing a violation of Article I of the United States Constitution. Green claims that the president's actions constitute an abuse of power by unauthorized military action without notifying Congress.
In conclusion, the current state of the markets indicates that investors primarily care about economic indicators rather than political issues, a trend observed in previous instances when President Trump faced impeachment threats.
