Historically, Trump's statements on law and order have led to increased market volatility, particularly in industries related to government services and public safety. The threat of federal intervention in California, a major hub for technology and entertainment, may lead to decreased investor confidence in the state's economy, potentially affecting stocks in these sectors. Additionally, the mention of riots and looters may raise concerns about social unrest and its impact on businesses, further contributing to a bearish market sentiment. The regulatory implications of such an intervention are also uncertain, which could lead to increased market uncertainty and decreased investor appetite for risk. Overall, Trump's statement may lead to a short-term decrease in stock prices, particularly in companies with significant operations in California.