The political environment of the United States is in turmoil at the present. People seem to be politically manipulated and lost while the politicians are seeking out for the president seat by engaging in malicious acts. The protests were led by pro-trump groups, in other words, his supporters, who stormed the U.S. Capitol on Wednesday and created havoc. Trump has instigated a sense of violence in his supporters by time and again claiming the US election to be unfair. He has given birth to superseding levels of anger and consternation in the public. The protests were led by die-hard trump supports in persistent in his contention that an election he clearly lost was stolen from him.
What exactly happened?
President Trump is moved by his defeat to such a level that he organized a rally with thousands of supporters outside the White House in the morning, during which, he exhorted his supporters to march on the Capitol. Masses of people swelled and protesters finally broke through police lines to enter into the building immediately after the joint session got underway. Trump also spoke with Vice President Mike Pence asking him to reject some of Biden’s votes in a joint session of Congress.
While the protests were going on and the violence was taking over the region, Trump kept walking back and forth between the Oval Office and White House dining room. Initially he seemed to be satisfied and pleased by all the tumult. His calmness during this tense situation and uncanny support to the protestors alarmed many of his aides who then spent nearly 45 minutes trying to reason with the president and persuading him to issue a tweet urging protesters against violence. his aides included his chief of staff, Mark Meadows, and White House Counsel Pat Cipollone.
The violence at the Capitol got aggravated to such a level that an unidentified woman was shot and killed by a Capitol Police officer while three other people died of medical emergencies. Members of the house also claim that President Trump acted out of anger and without putting in any logical evaluation.
The talks to remove Trump by invoking 25th Amendment are floating
With all this in place, all the 17 Democrats on the House Judiciary Committee have urged Vice President Mike Pence to “invoke the 25th Amendment“. This amendment, once invoked, would remove President Trump from office giving presidential powers to the vice president. The 25th Amendment to the US Constitution gives the Senate an opportunity to remove the president if the vice president and a majority of cabinet members think that he is not fit to carry out his duties of the office.
The democrats signed a letter stating that the president refused to categorically condemn the assault (perhaps showing is implicit support). It also stated “President Trump’s willingness to incite violence and social unrest to overturn the election results by force clearly meet this standard.”
The lawmakers noted that “President Trump has shown again and again that he is unwilling to protect Democracy and carry out his duties.”
The democrats have declared President Donald Trump to be “mentally unsound” and are urging the Vice President to “invoke the 25th Amendment” in order to remove him from the White House to save the sanctity of the democracy.
Multiple officials have resigned from their respective posts
Following the pandemonium on Wednesday at the Capitol, a few aides already quit their positions, including first lady Melania Trump’s chief of staff Stephanie Grisham. Another crucial resignation comes from President Donald Trump’s deputy national security advisor Matt Pottinger.
The other White House officials are also looking at the option of departing the house after the president encouraged protest.
Deputy Matt Pottinger’s boss, National Security Advisor Robert O’Brien, was also in deep dismay after this incident and also considered leaving the senate. He was, however, persuaded to stay on by allies on Wednesday. Furthermore, another person weighing a resignation is the assistant to the president and deputy chief of staff for policy coordination Chris Liddell. Another person to resign is deputy White House press secretary, Sarah Matthews.
Wednesday’s Capitol ruckus reflects on the economy fluctuations
The investors reacted to two crucial victories of the democrats in the Senate in tight Georgia runoff elections followed by the protests. The whole drama had to have an economic side to it. Needless to say, the US political insurgence has an amplified impact on its own markets, global markets as well as the markets of individual countries.
It is also expected that once Democratics gain control of the Senate, the economy of the united states could potentially witness a bigger stimulus check worth $2,000 for each household against the currently agreed upon check of $600 per household.
The Wednesday pandemonium and the Democrat win insisted the US stock futures along with the dollar to drool down on Wednesday.
The investors expect an exciting stimulus package under a Democratic Senate and presidency. As per the market analysts, the bond yields were encouraged on prospects of stronger stimulus. This gave a thumbs up to the 10-year US Treasury yield which rose to 1.014% as prices fell for the very first time since the coronavirus pandemic came into existence and ruined our normal lives.
The investors mulled the Georgia results leading to a 0.36% fall in the S&P 500 futures while the Futures for the tech-heavy Nasdaq dropped 2%. This came on account of investor worries that Democrats might raise taxes and crackdown on the big US tech companies that dominate the market.
The continent-wide Stoxx 600 index in Europe surged 0.81%. This came as investors weighed up the Georgia elections and a pledge by Saudi Arabia to cut oil output.
The Asian stock, however, had a mixed reaction. Japan’s Nikkei 225 fell 0.38% while China’s CSI 300 was up by 0.92%.
Meanwhile, the dollar also plunged 0.12% against a basket of other currencies on the back of which gold rose. It was last down 0.2% at $1,946 per ounce. Despite which it remained around its highest since early November.
On the back of production deal among OPEC+ countries in which Saudi Arabia agreed to cut production in an effort to shore up the oil market, Brent crude oil surged up by 0.52% to settle at $53.88 per barrel while the US benchmark WTI crude futures jumped up 0.3% at $50.08 a barrel.
Shell and BP both were up by 3.98% and 5.83% respectively.