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President Trump has posted a new announcement on Truth Social, the social media platform. He wrote:
“Even Fake News CNN is praising the DROP in Mortgage Interest Rates!”
How Will Trump’s Statement Affect the Stock Market?
This latest post has the potential to affect the stock market. That’s because Trump’s comment highlighting falling mortgage rates could boost sentiment for homebuilders like D.R. Horton (DHI) and Lennar (LEN), as well as Rocket Companies (RKT), by implying cheaper financing and potentially stronger housing demand. Lower-rate optimism may also support broader financial and real estate vehicles—such as XLF, KRE, VFH, VNQ, IYR, and XLRE—by suggesting increased loan activity, improved credit demand, and higher property transaction volumes, though banks’ net interest margins could face some pressure. Consumer-focused ETFs like VCR and XLY might benefit if investors infer that lower borrowing costs will free up household cash flow and spur discretionary spending, reinforcing a pro‑cyclical, risk‑on bias in equities.
Here are some of the stocks that might be affected:
D.R. Horton Inc ((DHI)),
Lennar Corporation ((LEN)),
Financial Select Sector SPDR Fund ((XLF)),
SPDR S&P Regional Banking ETF ((KRE)),
Vanguard Consumer Discretionary ETF ((VCR)),
Vanguard Financials ETF ((VFH)),
Vanguard Real Estate ETF ((VNQ)),
Consumer Discretionary Select Sector SPDR Fund ((XLY)),
iShares U.S. Real Estate ETF ((IYR)),
Real Estate Select Sector SPDR Fund ((XLRE)),
Rocket Companies Inc ((RKT)).