Dow futures tumble after Gary Cohn suddenly quits White House

Gary Cohn's sudden resignation as President Trump's top economic adviser is already rattling Wall Street.Dow f...

Posted: Mar 7, 2018 4:41 AM
Updated: Mar 7, 2018 4:41 AM

Gary Cohn's sudden resignation as President Trump's top economic adviser is already rattling Wall Street.

Dow futures fell more than 300 points on Tuesday evening after Cohn announced plans to step down amid a disagreement with Trump over trade policy. S&P 500 futures slid more than 1%.

The negative reaction underlines how investors have long been reassured by Cohn's presence in the Trump administration. Many believed the former Goldman Sachs president was a moderating voice to Trump's more aggressive views on economic policy, especially trade.

"The market looked at Gary Cohn as being the counterbalance to a pure strain of nationalism on tariffs and trade," said Peter Kenny, chief global market strategist at Global Markets Advisory Group.

Cohn's exit from the White House also signals he may have lost a bruising fight with rivals inside the administration on tariffs. Cohn had been trying to soften Trump's plan to impose tariffs on aluminum and steel that some Republicans and business executives fear could spark a trade war.

Related: Trump's tariffs could ricochet in coal country

Trump's tariff announcement last week spooked Wall Street, which began to worry about a potential trade war. The markets bounced back on Monday, when investors thought that House Speaker Paul Ryan and others would succeed in softening Trump's stance on tariffs.

"This trade issue really strikes fear into the market because it's an unknown," said Kenny. "It's a variable markets will have difficulty pricing in."

Major stock indexes in Asia reacted less severely than their US counterparts. After swinging between small gains and losses Wednesday morning, Japan's Nikkei and Hong Kong's Hang Seng were both down about 0.9% in early afternoon trading.

In his statement on Tuesday, Cohn said it's been an "honor to serve my country and enact pro-growth economic policies to benefit the American people."

Lloyd Blankfein, the CEO of Goldman Sachs, sent out a tweet on Tuesday crediting Cohn for his service and saying he is "disappointed to see him leave."

-- Jethro Mullen contributed to this report.

Mississippi Coronavirus Cases

Data is updated nightly.

Cases: 314509

Reported Deaths: 7247
CountyCasesDeaths
DeSoto21626259
Hinds20359415
Harrison17934309
Rankin13634278
Jackson13447246
Madison10099217
Lee9980174
Jones8381163
Forrest7683152
Lauderdale7191241
Lowndes6401147
Lamar623086
Lafayette6200118
Washington5339134
Bolivar4802132
Oktibbeha462798
Panola4588107
Pearl River4512146
Marshall4443103
Warren4393121
Pontotoc420772
Monroe4113133
Union411076
Neshoba4031176
Lincoln3968110
Hancock379386
Leflore3497125
Sunflower336090
Tate334084
Pike3325105
Scott315973
Alcorn313368
Yazoo311669
Itawamba300477
Copiah297065
Coahoma295479
Simpson295288
Tippah288768
Adams286882
Prentiss279760
Marion269280
Leake268373
Wayne262641
Grenada261487
Covington259681
George248048
Newton246861
Winston227281
Tishomingo226967
Jasper221148
Attala214473
Chickasaw207857
Holmes189173
Clay185454
Stone182833
Tallahatchie178841
Clarke178080
Calhoun170832
Yalobusha164338
Smith162434
Walthall133945
Greene130633
Lawrence128624
Montgomery126942
Noxubee126734
Perry126338
Amite123142
Carroll121829
Webster114532
Jefferson Davis107133
Tunica105726
Claiborne102430
Benton99525
Humphreys96733
Kemper95828
Franklin83823
Quitman80916
Choctaw76418
Wilkinson67331
Jefferson65728
Sharkey50217
Issaquena1686
Unassigned00

Alabama Coronavirus Cases

Cases: 532895

Reported Deaths: 11001
CountyCasesDeaths
Jefferson771431528
Mobile41089808
Madison34837505
Tuscaloosa25810454
Montgomery24355588
Shelby23730249
Baldwin21191309
Lee15892171
Calhoun14522316
Morgan14324279
Etowah13861353
Marshall12250223
Houston10581281
Elmore10060205
Limestone9986151
Cullman9705194
St. Clair9702243
Lauderdale9441242
DeKalb8846187
Talladega8255176
Walker7246277
Autauga6938108
Jackson6815112
Blount6694137
Colbert6310134
Coffee5524119
Dale4850111
Russell443238
Chilton4308112
Franklin426282
Covington4136118
Tallapoosa4039152
Escambia393977
Chambers3578123
Dallas3557152
Clarke351161
Marion3130101
Pike311377
Lawrence300798
Winston275673
Bibb261564
Geneva251477
Marengo249664
Pickens234761
Barbour231756
Hale223277
Butler216469
Fayette212562
Henry189044
Cherokee184745
Randolph181742
Monroe178040
Washington167639
Macon159950
Clay156857
Crenshaw152757
Cleburne149141
Lamar142935
Lowndes139053
Wilcox127130
Bullock122841
Conecuh110629
Coosa107928
Perry107826
Sumter104832
Greene92534
Choctaw61124
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