James Freeman offers an interesting analysis of stock market action, before and after Trump. From the new Best of the Web column in the Wall Street Journal:
Markets have been on a tear since Election Night, with the Dow up nearly 14% through Tuesday’s close. This is based on Mr. Trump’s promises to reduce the burden of taxes and rules imposed by Washington. For years prior to his election, markets were rising thanks in large part to historically low interest rates engineered by the Federal Reserve. But investors and businesspeople didn’t really believe Washington could manufacture prosperity. So big companies borrowed at low rates and then used the money to buy other companies or buy back their own stock or just sat on cash instead of investing in new equipment. This lack of investment meant we never got the productivity gains that make us all richer. Mr. Trump has made business operators more optimistic but it’s not clear he’s yet changed their behavior.