Trump refusing to depart appears much less doubtless and calms markets
CNBC’s Jim Cramer said Friday that investors should be more confident that an orderly transfer of power from President Donald Trump to President-elect Joe Biden should take place – suggesting Trump is refusing to join the White House despite losing a Democrat leave choice seems unlikely.
Cramer pointed out a number of developments that took place Thursday, including Biden’s planned victory in Arizona, according to NBC News, and an authoritative statement on electoral integrity released by a group of government agencies.
“I think we have a situation where there may be a little more certainty,” Cramer said on Squawk on the Street as stocks rose on Friday morning during a volatile week of trading. “The idea that the president would evacuate the White House will make us feel like there’s nothing such a wild card that we can’t even think about.”
Trump has refused to allow Biden to vote despite media outlets like NBC News forecasting the former Democratic Vice President as the winner. Trump’s campaign has filed numerous lawsuits in states like Pennsylvania related to the voting process or the counting of votes.
Trump has falsely claimed that he actually won the race, suggesting that his planned loss was due to “illegal voting”. And on Thursday, he tweeted about a right-wing conspiracy theory that deleted millions of ballot papers cast for him and switched hundreds of thousands from Trump to Biden.
Following Trump’s unsubstantiated allegations, a coalition of government security agencies issued a statement later Thursday saying in bold: “There is no evidence that any voting system has deleted or lost votes, changed votes or compromised in any way.”
“While we know that there are many unsubstantiated allegations and opportunities for misinformation about the conduct of our elections, we can assure you that we, and you should, have the greatest confidence in the safety and integrity of our elections,” it said in the declaration of the election coordination council of the infrastructure government. “If you have any questions, turn to election officials as a trustworthy vote when they conduct elections.”
Trump responded in a tweet on Friday with the slogan “Rigged Election!” Twitter called it controversial.
Cramer said the government statement suggested that despite Trump’s claims of compromising the elections, “there is a security apparatus that has spoken out”.
“I think that took the ‘black swan’ off the table,” said the host of Mad Money, a reference to so-called ‘black swans’ events that are highly unlikely but can have dire consequences if they do occur .
Cramer also said he believed Trump’s tweet Thursday about a drop in ratings for Fox News was an indication that Trump’s thoughts may be focused on post-presidency endeavors. Axios recently reported that Trump is considering starting a digital media company to keep up with the conservative cable network.
Taken together, so Cramer, these three developments should be viewed positively by investors in connection with a peaceful, democratic change of power. Instead of worrying about the president’s uncertainty, Wall Street can focus on the U.S. coronavirus outbreak and corporate earnings, according to Cramer. “The idea of evicting the White House is increasingly on the table,” he said.