President Donald Trump has been using the stock market as a scoreboard for his presidency, but many Americans are not invested in the market. According to Gallup polling, roughly 40% of the country owns no stock at all, and the wealthiest 1% own more than half of U.S. capital market investments.

Economic Growth

The U.S. stock market has gained $15 trillion since Trump returned to office, about a 25% increase, and stocks account for roughly a third of household wealth. However, these gains are heavily consolidated among the wealthiest Americans, whose assets are dominated by equities.

Some economists argue that Trump’s focus on the stock market neglects a large share of Americans and that the metric he relies on may not always reflect the health of the overall economy. They point to the fact that many Americans, particularly those in the lower and middle classes, do not have significant investments in the stock market and are more likely to be affected by other economic indicators, such as wage growth and inflation.

Criticism and Concerns

Critics accuse Trump of reversing major policy decisions after market declines, including rolling back parts of his trade war after stocks plunged following its announcement. They also argue that his focus on the stock market leaves out young people without much equity exposure, as well as women and minority groups who are underrepresented in capital markets.

Despite these concerns, Trump administration officials say that the president’s focus on the stock market is part of a broader legacy project to increase household participation in capital markets. They argue that the president’s attention to the market will help prevent ‘black swan events,’ or surprise, large-scale financial shocks, from rattling markets.

Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.