The Bankrate Trump Index: How the president’s words affect stocks

Donald Trump and entourage in elevator | Drew Angerer /Getty Images

America’s new president has demonstrated that he has the power to move stocks, sometimes in the span of just 140 characters.

Donald Trump’s blasts on Twitter about corporate moves that are “a disaster” or company policies that are “great” have reverberated on Wall Street, sending the shares of his tweet targets plummeting or soaring.

We wondered about the long-term impact of Trump’s words on the stocks in question.

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Welcome to the Bankrate Trump Index.

The chart shows the performance of stocks that Trump has mentioned, either negatively or positively, in comparison with the S&P 500 index. We wanted to compare the stocks cited by Trump with a broader market index of large-cap stocks. For that, the S&P 500, a market-weighted index, seemed the best choice, since it contains very large companies and less-massive companies, both of which Trump has mentioned in the past, and it is easy to understand.

The index has 30 companies, including organizations directly discussed by Trump (often on Twitter) or organizations centered on Trump-driven news (like the naming of a CEO to the administration).

The index started officially on Inauguration Day, Jan. 20, 2017, but we have included data going back to Nov. 9, 2016, the day after America voted Trump into the White House.

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We will add companies regularly and include a link and our reasoning for each addition to the index.

As a price-weighted index similar to the Dow Jones industrial average, the Bankrate Trump Index is calculated by adding the prices of the component stocks together and dividing by a divisor that initially will simply be the number of stocks in the index.

The divisor will be adjusted to account for the addition of new stocks mentioned by Trump to the index and stock splits, so that only market factors affect the index’s value day-to-day.

The index will be updated at the end of each trading day.

Our data source for stock price information is

Stocks included in the Bankrate Trump Index:

New York Times (NYT)

Added: Nov. 9, 2016

Trump routinely criticizes the New York Times for its coverage of him and its editorial direction. This tweet is just one example.

Wow, the @nytimes is losing thousands of subscribers because of their very poor and highly inaccurate coverage of the “Trump phenomena”

— Donald J. Trump (@realDonaldTrump) November 13, 2016

JPMorgan (JPM)

Added: Nov. 16, 2016

The Trump transition team is interested in having CEO Jamie Dimon join the administration as Treasury Secretary. Dimon turns down the invitation.

United Technologies (UTX)

Added: Nov. 29, 2016

Carrier, which is owned by United Technologies, announces it will keep jobs 1,000 jobs in the U.S. Trump proudly takes credit for the company’s direction.

Big day on Thursday for Indiana and the great workers of that wonderful state.We will keep our companies and jobs in the U.S. Thanks Carrier

— Donald J. Trump (@realDonaldTrump) November 30, 2016

Goldman Sachs (GS)

Added: Nov. 29, 2016

Trump announces Goldman Sachs alumnus Steven Mnuchin as his pick to head the Treasury Department.

Boeing (BA)

Added: Dec. 6, 2016

Trump critcizes the company for its projected cost to produce the next generation of Air Force One.

Boeing is building a brand new 747 Air Force One for future presidents, but costs are out of control, more than $4 billion. Cancel order!

— Donald J. Trump (@realDonaldTrump) December 6, 2016

Lockheed Martin (LMT)

Added: Dec. 6, 2016

Trump tweets about the company and says he asks Boeing for a price comparison of a Lockheed Martin product.

Based on the tremendous cost and cost overruns of the Lockheed Martin F-35, I have asked Boeing to price-out a comparable F-18 Super Hornet!

— Donald J. Trump (@realDonaldTrump) December 22, 2016

Dow Chemical (DOW)

Added: Dec. 9, 2016

Trump announces Dow Chemical CEO Andrew Liveris will head the American Manufacturing Council in his administration.

Exxon Mobile (XOM)

Added: Dec. 12, 2016

Trump selects CEO Rex W. Tillerson to be his secretary of state.

Twitter (TWTR)

Added: Dec. 14, 2016

Twitter executives claim that they were “bounced” from a meeting with Trump. Twitter CEO Jack Dorsey believed the reason was his role in rejecting an anti-Hillary Clinton emoji — a rejection that brought public complaints from Trump’s campaign.

Time Magazine (TIME)

Added: Dec. 15, 2016

Time Magazine name Trump its “Person of the Year.” Trump called it a “great honor.”

Thank you to Time Magazine and Financial Times for naming me “Person of the Year” – a great honor!

— Donald J. Trump (@realDonaldTrump) December 15, 2016

Ford Motor (F)

Added: Jan. 3, 2017

Trump tweets a story about Ford’s decision to scrap a Mexico plant and instead invest in Michigan “due to Trump policies.”

@DanScavino: Ford to scrap Mexico plant, invest in Michigan due to Trump policies”

— Donald J. Trump (@realDonaldTrump) January 3, 2017

General Motors (GM)

Added: Jan. 3, 2017

Trump tweets a threat of a “big border tax” to General Motors after he says the company “is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border.”

General Motors is sending Mexican made model of Chevy Cruze to U.S. car dealers-tax free across border. Make in U.S.A.or pay big border tax!

— Donald J. Trump (@realDonaldTrump) January 3, 2017

Sprint (S)

Added: Jan. 3, 2017

Trump tweets a story about the company’s decision to move 5,000 jobs to the United States. Trump says he brokered the deal.

“Trump is already delivering the jobs he promised America”

— Donald J. Trump (@realDonaldTrump) January 3, 2017

Toyota (TM)

Added: Jan. 5, 2017

Trump tweets a threat to Toyota if it builds a plant in Mexico. “NO WAY! Build plant in U.S. or pay big border tax.”

AT&T (T)

Added: Jan. 5, 2017

News breaks from Bloomberg that Trump opposes the megamerger between AT&T Inc. and Time Warner Inc. because “it would concentrate too much power in the media industry.”

Time Warner (TWX)

Added: Jan. 5, 2017

News breaks from Bloomberg that Trump opposes the megamerger between AT&T Inc. and Time Warner Inc. because “it would concentrate too much power in the media industry.”

Fiat Chrysler (FCAU)

Added: Jan. 9, 2017

Trump specifically mentions Fiat, praising the decision to expand in Michigan and the United States.

Ford said last week that it will expand in Michigan and U.S. instead of building a BILLION dollar plant in Mexico. Thank you Ford & Fiat C!

— Donald J. Trump (@realDonaldTrump) January 9, 2017

NBC (Owned by Comcast) (CMCSA)

Added: Jan. 15, 2017

Trump routinely criticizes NBC and Saturday Night Live, “the worst of NBC.” In following its longtime tradition, the show satirizes Trump and numerous other political figures.

.@NBCNews is bad but Saturday Night Live is the worst of NBC. Not funny, cast is terrible, always a complete hit job. Really bad television!

— Donald J. Trump (@realDonaldTrump) January 15, 2017

Walmart (WMT)

Added: Jan. 17, 2017

Trump praises Walmart, which will create 10,000 U.S. jobs in 2017, for “starting the big jobs push back into the U.S.!”

Thank you to General Motors and Walmart for starting the big jobs push back into the U.S.!

— Donald J. Trump (@realDonaldTrump) January 17, 2017

TransCanada Corporation (TRP)

Added: Jan. 24, 2017

Trump tweeted a picture of himself signing orders to move forward with two pipeline projects. One is the Keystone XL pipeline, owned by this Canadian energy company.

Signing orders to move forward with the construction of the Keystone XL and Dakota Access pipelines in the Oval Office.

— Donald J. Trump (@realDonaldTrump) January 24, 2017

Energy Transfer Partners (ETP)

Added: Jan. 24, 2017

This Fortune 500 company, headquartered in Dallas, owns the other project, the Dakota Access pipeline.

Signing orders to move forward with the construction of the Keystone XL and Dakota Access pipelines in the Oval Office.

— Donald J. Trump (@realDonaldTrump) January 24, 2017

Fox (FOXA)

Added: Jan. 25, 2017

Trump praised Fox News – and again slammed CNN — for its ratings on inauguration coverage.

Congratulations to @FoxNews for being number one in inauguration ratings. They were many times higher than FAKE NEWS @CNN – public is smart!

— Donald J. Trump (@realDonaldTrump) January 25, 2017

Disney (DIS)

Added: Jan. 25, 2017

David Muir of ABC had the first interview with Trump in the White House. Disney owns ABC Television Group.

Interview with David Muir of @ABC News in 10 minutes. Enjoy!

— Donald J. Trump (@realDonaldTrump) January 26, 2017

Delta Airlines (DAL)

Added: Jan. 30, 2017

Trump criticizes Delta airlines during the chaos at airports following his executive order temporarlily suspending the United States refugee program.

Only 109 people out of 325,000 were detained and held for questioning. Big problems at airports were caused by Delta computer outage,…..

— Donald J. Trump (@realDonaldTrump) January 30, 2017

Harley Davidson (HOG)

Added: Feb. 1, 2017

The Milwaukee motorcycle company canceled a previously scheduled visit for Donald Trump to tour the factory, citing that it was uncomfortable hosting in the face of likely protests.

Nordstrom (JWN)

Added: Feb. 8, 2017

Nordstrom dropped Ivanka Trump’s clothing line from its stores on Feb. 3, and Trump tweeted his displeasure with the company’s move.

My daughter Ivanka has been treated so unfairly by @Nordstrom. She is a great person — always pushing me to do the right thing! Terrible!

— Donald J. Trump (@realDonaldTrump) February 8, 2017

Intel (INTC)

Added: Feb. 8, 2017

Trump and Intel Corp. CEO Brian Krzanich announced plans for a major manufacturing facility in Arizona. The plan will employ 3,000 people, officials said. Trump tweeted, calling it a “great investment” in American innovation and jobs.

Thank you Brian Krzanich, CEO of @Intel. A great investment ($7 BILLION) in American INNOVATION and JOBS! #AmericaFirst????

— Donald J. Trump (@realDonaldTrump) February 8, 2017

Humana (HUM)

Added: Feb. 15, 2017

Trump tweeted a news story about Humana’s decision to pull out of the healthcare exchange as more evidence, in his mind, that the Affordable Care Act is a failure.

Obamacare continues to fail. Humana to pull out in 2018. Will repeal, replace & save healthcare for ALL Americans.

— Donald J. Trump (@realDonaldTrump) February 14, 2017

Aetna (AET)

Added: Feb. 15, 2017

Aetna CEO said in a news story that Obamacare is in a “death spiral,” and Trump tweeted the story with the hashtag #RepealAndReplace.

Aetna CEO: Obamacare in ‘Death Spiral’ #RepealAndReplace

— Donald J. Trump (@realDonaldTrump) February 15, 2017

Cisco (CSCO)

Added: Feb. 23, 2017

In a CNBC story Trump tweeted, Cisco chairman John Chambers said Trump would be a boon to tech startups.

‘Cisco chairman John Chambers explains how Trump will be a boon to tech startups’

— President Trump (@POTUS) February 23, 2017

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