U.S. President Donald Trump is unlikely to be impeached anytime soon, but the current political turmoil will derail his pro-growth agenda, Nomura said in a research note Wednesday.
President Trump has been embroiled in a series of scandals that have made investors concerned. On Wednesday, the Dow Jones industrial average lost 370 points recording its worst day since September last year, following news that Trump asked former FBI director James Comey to "let go" an investigation into former National Security Advisor Michael Flynn.
The events have led some to start weighing the possibility of an impeachment, but according to Nomura this "still seems a distant prospect".
"This issue is unlikely to be resolved anytime soon, but impeachment risk seems low," the bank said, noting that for former President Bill Clinton, the impeachment trial took three months plus investigation time.
"Removing Mr Trump will require a two-thirds majority in the Senate, and the chances of Republicans voting to impeach their own president seem low," Nomura added.
At least for as long as his approval ratings don't drop significantly, Republicans will have difficulties in turning against their president. Plus, President Trump can blame the media and intelligence agencies for impeachment charges, which boosts his anti-establishment status, the bank also said.