Trump Says to Sell All Your Stocks Now

donald trumpIn a recent phone interview with Fox Business, Republican presidential nominee Donald Trump noted that he sold out of all his stock positions recently — and other investors should, too.

“I did invest and I got out and it was actually very good timing. But I’ve never been a very big investor in the stock market.” said Trump.

When asked if the average 401(k) investor should put their money into the markets now, Trump was very clear: “No, I don’t like a lot of things that I see, I don’t like a lot of the signs that I’m seeing.” He then went on to reference the Syrian refugee crisis for some reason, despite the fact that the issue is completely disconnected from the stock market.

Continuing, The Donald noted that “Interest rates are artificially low. If interest rates ever seek a natural level, which obviously they would be much higher than they are right now — you have some very scary scenarios out there. The only reason the stock market is where it is is because you get free money.”

Trump didn’t elaborate on what those scary scenarios might be, but it’s easy to imagine where he was going with that comment. The global economy does in fact appear to be addicted to zero percent interest rates, which are helping keep entire industries like real estate and automobiles afloat. Low rates and relaxed lending standards naturally encourage more spending amongst consumers and corporations alike, although there’s great debate as to how much of an effect low-rate policies have — particularly when they’re in place for several years.

When asked how the markets would perform if he were elected president, Trump predictably said they would “go great.”

So if Trump doesn’t like the stock market right now, but believes stocks would perform well if he were president, does that mean he thinks his odds of winning the election are low?

Thus far today, investors aren’t taking Trump’s advice. The SPDR Dow Jones Industrial Average ETF (NYSE:DIA) fell slightly, down $0.21 (-0.11%) to $182.75 per share in premarket trading Wednesday. The DIA, which is the largest ETF that tracks the DJIA, has gained 5.16% year-to-date.

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