U.S. stocks, the dollar, and government bonds were down in Wednesday’s midday trading as many analysts said investors have been shaken by a series of controversial actions and comments from President Donald Trump. The major U.S. stock indexes fell 1.1 percent or more.
The faltering markets follow Trump’s firing of the FBI chief, sharing secrets with top Russian officials, and allegations that the president may have tried to block an investigation into actions by a top aide who was fired.
Stocks had risen to a series of record highs after Trump’s election, as investors bet that his promises to cut taxes and regulation would boost economic growth and corporate profits.
Investors may have second thoughts, though, after legislative efforts to repeal and replace a health care law stalled, and the tax cut agenda is tangled in political bickering.
Even Trump’s Republican allies say calls for congressional and other investigations of the administration’s actions are a distraction and a worry for lawmakers trying to move his agenda forward against determined opposition from Democrats.