Trump came across as a Hollywood star who refused to be dramatic when he said on camera that I hate predicting recessions, but the markets clearly didn’t take that as a joke.
Atlanta Fed model will be the United States in the first quarter GDP is expected from 2 3 a knife cut to 1 5, coupled with Trump tariffs may continue to raise the threat of Wall Street traders have put on a collective mask of pain.
Nasdaq plunged 5 yesterday, Tesla shares are staged seven weeks in a row kneeling epic drama, hit the longest losing streak in 15 years on the market, back last year after the U.S. election all the gains. Musk bluntly said With great difficulty.
If Trump’s tariffs are hurting the enemy a thousand times, then Musk’s social media frenzy is simply hurting himself a thousand times. Daily average of 61 posts a year angrily brush 13 million tweets Silicon Valley Iron Man, successfully Musk tweeting into a more terrible than the Fed rate hike negative signal.
The reasoning is also very simple When entrepreneurs are not focusing on running the business, but are busy engaging in publicity for political achievements, the market will naturally give the corresponding return. Tesla’s sales fell for the first time in 10 years last quarter, Bloomberg reported recently. The latest evidence suggests that Tesla is losing its lead in sales of electric cars in Europe and China.
So it’s no surprise that Tesla’s stock price has evaporated by 50 , 800 billion dollars in market value in seven weeks, the equivalent of burning through 25 SpaceX valuations a day, all things considered.
Still, Musk says it’s all worth it, and in the long run, it’s going to be okay.
Musk’s attitude mirrors Trump’s wordplay. In front of reporters, Trump called the potential recession in the U.S. economy a transition, and that tax cuts and tariff revenues would stimulate the economy, with an overall tone of “better long term than short term,” and “the future will be better”.
Only, the future of the U.S. economy will really be as Trump said?
Before the bursting of the Internet bubble in 2000, Microsoft Cisco, like today’s Tesla, ran wild with technological beliefs until the profit warning burst the illusion of the 2008 financial crisis, Lehman’s coffin board was subprime transition such nonsense nailed to death.
Nothing completes a transition more effectively than an economic crisis. Perhaps this is what Trump intends to do.
Chubby said
What could Chubby do if he were to switch to Trump’s perspective and face the false prosperity left behind by his predecessor?
I think the basic idea would be
The first six months in office as soon as possible to expose the problem, after the problem blew up in the trend of corrective action, highlighting their own political achievements.
Since the bubble is about to burst and won’t even last until the end of the current term, it would be better to accelerate the detonation at the beginning of the term, so that the responsibility is assigned to Biden.
At the same time, his own image has also become a savior, and he can correct all the opposing voices in the name of corrective action and take the opportunity to centralize power. In this way, the future will be stable, so as to be in a position to make longer-term development plans.
So ah, although Trump seems to make all the dodgy moves, but in the heart may not be fine it, such as the following set of chain moves
Before taking office, the issue of Trump coins to cut leeks, the early use of the identity of the president to make money, while also avoiding the responsibility, and Fully explored the digital currency market
After taking office, it was announced that 5 million dollars to sell U.S. accounts, in fact, the target is still the above set of wealth can not see the light of day, the U.S. can take you in, and defend your wealth and then returned to the country.
On the surface, Trump is doing it all for himself, but in reality, the United States does benefit from this, at least the debt burden can be reduced.
Unfortunately, it’s easy to invite the gods to send the gods away, and triggering an economic crisis is just a matter of lighting a fire, but how it will blow up afterward and how it will end, no one knows, and no one can control it.
There is no need to dwell on whether or not we should step on the gas pedal on the downhill road. We should be more concerned about what is at the end of the downhill road.
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