Tuesday 13 September 2022 09:53 PM Biden's victory lap stumbles as dow drops as president speaks trends now
President Joe Biden's victory lap for his climate change and prescription drug prices law took a stumble on Tuesday as he celebrated its passage at the White House while the stock market had its biggest tumble in two years.
As Biden spoke, the Dow lost more than 1,250 points and the S&P 500 sank 4.3% after Tuesday's report that inflation remained essentially stagnant in August.
'We're making progress,' Biden said in his speech on the South Lawn of the White House. But he acknowledged there was work to be done: 'We're getting other prices down as well. We have more to do. We're getting there.'
The event was designed to bolster Democrats' work to ease cost of living for Americans.
More than a thousand people were crammed on the South Lawn on the hot sunny day. Democratic members of Congress, union officials and Biden supporters were there to cheer on the president.
But the markets' downward spiral and the inflation rate for August - 8.3 percent - cast clouds on his day. As cable news networks aired his remarks, they included the dropping Dow numbers in their cyrons.
And Biden had his own stumble. He had taken off his suit jacket on the 80 degree day and then stepped on it.
He was speaking of his legislative victory: 'This extraordinary story being written today in America by this administration as I step all over my coat.' He stopped to pick it up.
President Joe Biden 's victory lap for his climate change and prescription drug prices law took a stumble on Tuesday as he celebrated its passage at the White House while the stock market had its biggest tumble in two years
The event was to have a dual purpose: to tout to voters - as the November congressional election approaches - that he and his party can get things done in Washington and to slam his political rivals.
Biden did bash Republicans for not voting for the bill. 'Republican choose not to join us,' he said.
He also criticized Donald Trump's tax cut although he didn't mention the former president's name: 'Under my predecessor, there was a $2 trillion tax cut, not a penny of which was paid for and it mainly benefited the wealthiest 1% of the American people and the biggest corporations,' he said.
President Joe Biden signed Inflation Reduction Act into law in August in low-key ceremony at White House but Tuesday's celebration will feature thousands
Ahead of the big event came the news that prices climbed in August by 0.1 percent compared to the month before, despite the falling costs of gas. Prices of food soared, however, as did monthly rental rates.
It was unwelcome news for the Biden administration and a sign the Federal Reserve will continue to raise interest rates, which will drive up mortgage rates, car loans and credit card rates.
August inflation came in at 8.3 percent, which is down from 8.5 percent in July and 9.1 percent in June. Still, economists had hoped for a steeper drop. The stock market tanked at the news: the Dow dropped over 500 points with the S&P and Nasdaq down 2 percent.
The Biden administration repeatedly has touted the fact gas prices have dropped the past few months - after hitting over $5 a gallon in some parts of the country.
But, driving the August inflation numbers, was the cost of food, which rose at a blistering rate. The price of groceries was up 13.5 percent from last year, the biggest annual increase seen since February 1979.
Republicans went on the attack with Republican National Committee Chairwoman Ronna McDaniel arguing Americans 'can't afford' Biden as president.
'Families simply can't afford Biden and the
