Should the president be removed from office, Vice President Mike Pence would take the helm, in which case the political configuration and policy decisions wouldn’t veer too far from the current state of affairs, he said.
At the center of the impeachment scandal is whether the president abused the power of his office to seek a politically motivated investigation into a rival. The House voted at the end of October to set up a formal process for public hearings. Since then, the S&P 500 has gained about 2%.
On Wednesday, the U.S. envoy to the European Union, Gordon Sondland, said Trump’s personal lawyer demanded a quid pro quo from Ukraine -- at the president’s direction -- by holding up a White House meeting unless the country’s president announced an investigation that stood to benefit Trump politically. Trump said the testimony cleared him.
There’s at least one outcome that could force markets to start reacting to the proceedings, said Baird’s Delwiche. So far, the president’s approval ratings have barely budged, with the latest Gallup poll showing a slow tick higher to 43%. But investors may start to rethink that stance should public support for Trump dip below 35%, he said. If Trump loses public support, “then impeachment becomes a real thing.”
This article was provided by Bloomberg News.