Wall Street is spending a big time, and the sale button is working overtime every time the word “customs” passes from Donald Trump's lips. If you've been listening to the fat cat community for a long enough time, you'd think Trump has been in office for four years rather than four weeks. And I think the small trade surcharge for cars from Mexico is leading us to an economic Armageddon.
I'm not a fan of tariffs for many reasons. I hate being too much for things, but I've taken enough econ and studied a market long enough to know that they're not the end of the world as we know. We also know that Trump's economic plan is more than tariffs. It is about tax cuts, deciphering the federal government's involvement in the private sector and allowing the private sector to flourish.
It is to unleash the animal spirit of American entrepreneurs through deregulation.
Yes, what Trump wants to do, and what he has to do, taking into account the load he has left, was always destined to cause short-term pain for long-term benefits.
So try to ignore the stock market a bit. Either way, if history is a guide, the actual economy that most people care about is trying to do well given what Trump is planning, so is the stock market in the end.
Think of the current US economy as a junkie away from heroin. This is by no means easy. We are obsessed with the heroin (both financial and financial) of government spending, so when the economy is growing to nearly 3%, we run a $2 trillion deficit, as sleepy Joe Biden is low because we didn't have, and we are running a $2 trillion deficit.
Trump people say Biden injected $250 billion into the economy to elect Kamala Harris in the last month. Again, the market was on track, but inflation remained high throughout the presidency. Taxes on the working class. The rich didn't care. Because they can infer the high prices of staple foods like eggs through stock and other inflated financial assets.
There aren't that many working class people, or Harris will be president today.
Excuse to fix it
Taking government spending has shaking the aforementioned addicts, giving them the same for Trump's trade policy. The country uses us in trade on a daily basis. China steals our intellectual property. Mexico exports everything from cars, trucks, immigration to fentanyl. Our deficit with this country continues to grow.
Trump was quite confused as most financial types don't appreciate because of their obsession with the market. Additionally, stocks were set towards what the stocks were looking at now, as most companies had stocks, most of them technology and AI-related stocks.
Customs duties became an excuse.
Getting used to playing cards has always been a bit nauseous for the market and the fat cat set. The $2 trillion deficit, $37 trillion debt, Mindless spending, open borders, massive trade deficits, inflation, etc. demand economic 180, and the market hates uncertainty. Moreover, Trump people don't benefit from mentioning the word “tariff” every 30 seconds, rather than highlighting the tax cuts and deregulation that businesses and markets love.
They need to give the country a little history lesson. The market disliked President Reagan's early uncertainty. The economy experienced a lot of pain during the three-year transition, when Reganista cut taxes and cut unemphasized governments.
As history shows, it all paid off for American workers, and even fat cats in the stock market.
So, ignore the pook.
