President Donald Trump has recently urged David Solomon, the CEO of Goldman Sachs, to consider hiring a new economist following the bank’s assertion that consumers will soon shoulder the majority of costs associated with rising tariffs. Well, Goldman Sachs just released an under‐the‐radar research report indicating that tariff hikes totally do that. As a result, consumer prices are predicted to skyrocket.
In a post on Truth Social, Trump expressed his dissatisfaction with Goldman Sachs’ economic outlook, stating, “David Solomon and Goldman Sachs refuse to give credit where credit is due.” He further remarked, “I think that David should go out and get himself a new Economist or, maybe, he ought to just focus on being a DJ, and not bother running a major Financial Institution.”
David Solomon is the CEO of Goldman Sachs since 2018. Before that, he developed a career on the side as a DJ, playing major events until the bank’s board forced him to take a leave from that side hustle two years prior. His dual career has played no small role in shaping a public persona that merges finance and show business.
On Tuesday, the consumer price index—the most common measure of inflation—showed consumer prices rose just 0.2% in July. At the same time, the annual inflation rate remained at 2.7%. Against this backdrop of such positive counter-cyclical economic data, it’s worth noting the continued historical critique of economic conditions and policies from Trump.
Jan Hatzius, Goldman Sachs’ chief economist, is already causing a stir in Washington and on Wall Street. He has risen to become one of the most important economists in the industry. His predictions have become notoriously popular among both policymakers and financial analysts. Hatzius has briefed powerful people such as former President Joe Biden and Federal Reserve Chair Jerome Powell. Collectively, these meetings add immense credibility to his economic forecasts.
Solomon’s appointment is especially interesting given that Trump himself has pilloried Goldman Sachs. In reality, the bank’s research just as obviously moves the needle on economic discourse a whole lot. And rightly so, because everyday Americans will pay the price if trade negotiators continue to ignore their concerns about how trade policies impact them. They argue that consumers will be hit hardest by the higher tariffs.