The Orange Swan Goes Full Whirling Dervish

Maybe even the Orange Swan metaphor doesn’t do the Donald justice. Based on his London presser this AM, perhaps Whirling Dervish would be the better appellation.

At least, the headline reading algos might think so. During a blizzard of double-talk and circular babbling, the Donald had them ripping and plunging likely rarely before. The China trade deal was on and off in a New York minute, as aptly described by Zero Hedge:

Welcome to the funhouse.

On Tuesday morning, President Trump tells reporters in London that his administration is progressing “very well with China right now” in formulating a trade deal. Futures jump on the news then fade it hard. Then moments later, he punks all the algos and crushes the upward momentum when he spills the beans that there is actually no trade deal in sight.

TRUMP SAYS WE ARE DOING VERY WELL WITH CHINA RIGHT NOW;
TRUMP SAYS CHINA TRADE DEAL IS DEPENDENT ON WHETHER I WANT TO MAKE IT;
TRUMP SAYS I HAVE NO DEADLINE ON TRADE;
TRUMP SAYS IT MIGHT BE BETTER TO WAIT UNTIL AFTER NOVEMBER 2020 ELECTION
Needless to say, S&P500, Nasdaq, and Russell 2000 futures plunged on the news that a trade deal could occur after the 2020 election.

To be specific, here’s the Donald’s actual prose behind the headlines. But even the Chinese know amateur rope-a-dope when they hear it:

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