Former President Donald Trump has a hard-to-judge day today, marked by two high profile public appearances. To bolster these promises, he’ll host Israeli Prime Minister Benjamin Netanyahu at the White House this Monday. This meeting will focus on a variety of diplomatic and economic challenges. Further, on the visit will be the World Series-winning Los Angeles Dodgers, honoring their new Major League Baseball championship to cap off a very successful and historic season.
While economic indicators across many metrics are looking increasingly dire, Trump is determined to convince Americans that all is well with the economy. This prophetic sell-off he recently equated to a “bitter pill.” This bust, though the result of his own tariff policies, is the blister required for healing a bad rash. His remarks come at a time of increasing concern over an impending recession. That’s what a recent CNBC CEO survey is projecting his tariff strategies are going to mean in terms of job cuts by 2025, with expected damage to both U.S. and Asian markets.
1 In a recent Truth Social post, Trump took credit for falling food prices and declared that there was “NO INFLATION.” He emphasized that the U.S. is now bringing in billions of dollars weekly from tariffs imposed on foreign countries, which he argues have long taken advantage of American resources. He stated:
“They’ve made enough, for decades, taking advantage of the Good OL’ USA!” – Donald Trump
So, contrary to Trump’s claims, experts have criticized his tariffs. CNBC’s recently released survey finds that these policies are already resulting in a stark downturn in international trade and investment. Even more troubling, the survey predicts that his tariffs might cause a recession before the year is out.
In his speeches, Trump has blamed all these challenges on previous presidents and leaders who “let this” disaster happen. Unfortunately, many of these same critics contend that his new policies are making the situation much worse. Investor Bill Ackman has voiced his concerns, suggesting that Trump’s economic decisions may financially benefit certain individuals while harming the broader economy.
He took the Trump administration to the woodshed for choosing a Secretary of Commerce affiliated with a company with large holdings in fixed income. He gave this decision the designation of “bad idea,” citing the conflicts of interest it creates.
“I just figured out why @howardlutnick is indifferent to the stock market and the economy crashing. He and Cantor are long bonds. He profits when our economy implodes.” – Bill Ackman
Although, as Trump sails into these often-rough economic waters, he’s committed to trying to paint them with a rosy glow. First, he points to the dramatic fall in oil prices as perhaps the biggest policy win. To him, this decrease is a testament to good governing. The market is crashing hard, and it should be alarmed. Repeated sell-offs are fueling fears concerning the impact that his tariff policies will have in the long term.
As Trump continues to navigate these turbulent economic waters, he remains steadfast in presenting a positive outlook. He highlights the steep drop in oil prices as a policy win, viewing it as a reflection of successful governance. Nevertheless, the market’s reaction tells a different story, with ongoing sell-offs raising alarms about the potential long-term consequences of his tariff strategies.