The Art of the Lousy Deal

Trump and his political enemies are close to a deal on a border wall, but if either side has the chutzpah to take a victory lap, it’s going to be one celebration too many for millions of Americans. We can leave it to news commentators on the left and right to sort out who got what. If it makes the country’s southern border less porous, it’ll at least be a small victory for taxpayers.

The border war has had little if any impact on the stock market. The tariff war with China, on the other hand, has subjected stocks to a roller coaster ride since spring. The effect has become more muted recently, probably because the expected outcome — i.e., the “deal” Trump is liable to get from Xi Jinping — is unlikely to be any more constructive or meaningful than the budget about to be passed on Capitol Hill. Under the circumstances, a tariff agreement has the potential to end the presumptive bear rally on Wall Street. Buy the rumor, sell the news, as the saying goes.