Stocks have recovered from Wednesday’s Trump-related wipeout as chatter of impeachment fade. As a reminder, the political media had a field day over reports President Trump had asked former FBI director James Comey to end an investigation into former National Security Advisor Michael Flynn’s alleged connections to Russia and Turkey.
With the Department of Justice appointing a special council to look into the matter, and with Trump off on his first foreign trip as president, cooler heads are prevailing. The catalyst for the original wipeout, concern that Trump’s pro-growth legislative agenda will be stalled, still hangs in the air however. Especially as new allegations come to light.
While the medium-term outlook still looks dicey — with technical measures rolling over, breadth still narrowing and fundamentals like economic growth uneven and tepid — we could be on the cusp of a short-lived relief rally over the next week or two.
With that in mind, here are three Dow Jones Industrial Average components that look set to benefit: