Has President Biden finally ended the market bubble and triggered the end of the healthy Trump economy?
The Dow on Thursday fell significantly, along with other indexes, once reports went out that Biden is getting ready to double capital gains tax to as much as 43.4 percent for people who earn $1 million or more, Bloomberg has reported.
The Dow slid sharply over 300 points, the S&P 500 decreased by 38 points and the Nasdaq dropped by 132 points on the announcement that President Biden would be coming for high earners.
Biden’s plan was torn to shred by top traders and normal Americans for hurting the portfolios of many middle-class people.
Popular investor Dave Portnoy, who is probably the face of populist investing, lashed out against Biden:
Others were fast to jump on the communistic Democrat:
Starting in 2020, as the economic climate rebounded, more people than ever were investing as the market climbed to new heights. Many of these people have wondered when the bull market might vanish.
As of Thursday morning, despite Biden, the market had stayed healthy.
But nothing frightens investors more than Democrats ‘ plans for greater taxation on success. Their anxiety led to the sell-off later that day.
Average investors who have benefited from the booming economy that started under former President Trump are affected when the wealthy start a sell-off, as happened on Thursday.
Those who have 401(k) plans depend on a robust Wall Street and are adversely affected when Democrats start threatening everyone’s profits.
A lowering of the tide will sink all the boats. The middle class will end up paying as investors and innovators go somewhere else or hoard their cash.
Biden and the Democrats might have the impression that they are only harming the 1 percent. But, by proxy, they are in fact hurt many millions of normal middle-class Americans.