Why the Stock Market Just Keeps Going Up

In this episode of The Daily, Joe Rennison joins Natalie Kitroeff to discuss the perplexing strength of the stock market amidst political and economic volatility, particularly under the Trump administration. They explore how initial market anxieties over tariffs have evolved into a more calculated understanding, with tax cuts and interest rate adjustments further influencing investor behavior. The conversation highlights the significant impact of AI-driven companies, the "Magnificent Seven," on market performance, while also noting underlying concerns such as rising gold prices, shifts in international investments, and increasing defaults in subprime auto lending. Despite these warning signs and the ongoing U.S.-China trade tensions, the market's resilience is attributed to strong corporate earnings and investors' ability to filter out political noise, focusing instead on tangible economic realities and the long-term potential of AI.