According to the report, CNBC financial analyst Jim Kramer said that Trump’s policy is distorting market logic, attracting short sellers into the market and inducing investors to miscalculate: “There is a common reason for the recent market miscalculation: the president’s tariff policy and his nationalism against the rest of the world continue to disrupt trading decisions.” Kramer pointed out that the market has often seen a “sell at the open” pattern recently, in anticipation of Trump’s sudden remarks about trade or companies like Apple, who are trying to profit from short-term declines. But this strategy will fail in the days when Trump remains silent. Mr. Kramer said that Mr. Trump had almost single-handedly reinvigorated the shorting business, and many hedge funds had begun to heavily short stocks such as Nvidia or CoreWeave, convinced that the White House policy would make a sure profit. “Short sellers could suffer significant losses because many companies are outperforming, but the White House’s actions often overshadow Wall Street,” he warned. "
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Kremer: Trump's policies distort the market; shorters may face significant losses.
According to the report, CNBC financial analyst Jim Kramer said that Trump’s policy is distorting market logic, attracting short sellers into the market and inducing investors to miscalculate: “There is a common reason for the recent market miscalculation: the president’s tariff policy and his nationalism against the rest of the world continue to disrupt trading decisions.” Kramer pointed out that the market has often seen a “sell at the open” pattern recently, in anticipation of Trump’s sudden remarks about trade or companies like Apple, who are trying to profit from short-term declines. But this strategy will fail in the days when Trump remains silent. Mr. Kramer said that Mr. Trump had almost single-handedly reinvigorated the shorting business, and many hedge funds had begun to heavily short stocks such as Nvidia or CoreWeave, convinced that the White House policy would make a sure profit. “Short sellers could suffer significant losses because many companies are outperforming, but the White House’s actions often overshadow Wall Street,” he warned. "