Journalist: uncertainty is enormous. And the economy suffers. The bag accuses receipt with a rapid correction of 10% from the February maximum. The OECD reviewed the global growth projection for this year and the next one. Recession in the US? The Treasury Secretary, Scott Besent, says there are no guarantees. President Trump does not deny her. The only thing he states with emphasis is that April will begin with another batch of tariff increase. Insists with more of the same. Is there the intention of causing a deliberate recession, or, at least, a substantial downturn of the activity?
Gordon Gekko: With Monday’s newspaper, it would seem like yes. Total, as Besent said, the progress of the economy is “ours” responsibility just from the fourth quarter. The speech is simple: what we see now, what the government is doing, is to order the “disaster” that Biden (sic) left. Besent points out, Secretary Lutnick, counselor Hassett.
Q.: How do you explain?
GG: With great difficulty. They could apply their ideas, and keep how good they receive. An economy that grows healthy; high inflation, but in sustained low; And, above all, the firm trust in the future, regardless of what challenge arises on the horizon, which has been the distinctive seal of the country.
Q.: The first thing that was destroyed is trust.
GG: The other resists, but is under a very intense pressure.
Q.: Trump leaned for a shock policy. It doesn’t matter what it hurts or hurt, but wants to advance with your plans fast.
GG: The invoice of the initial damage will be loaded to Biden.
Q.: What do surveys say? Who pays this stormy debut in public opinion?
GG: Biden does not exist more politically. Democrats are saved. They disappeared deliberately.
Q.: Although they called Chuck Schumer, the head of the opposition minority in the Senate, to avoid the closure of the government.
GG: The Democrats did not want to put a stick on the wheel, even in an issue that the Republicans should have resolved with their own vote. We are on the honeymoon. Trump’s image fell, but much less than at the same height in his first term. All good, he will think.
Q.: People support, beyond the screaming that is heard.
GG: Trump does what he said he was going to do. It is what people voted.
Q.: What perhaps did not vote were its consequences.
GG: Very early to say it. Except in the case of the one who has already lost his job.
Q.: Do you think an initial recession is sought? Do you think it seeks to avoid a debt crisis, as Besent suggests? What thinks is the idea?
GG: A recession is not sought. Nor that Wall Street Corrija, no matter how much than Besent, given the consummate fact, indicate that the corrections are healthy. But the priority is to execute an agenda that they know is stormy, which will cause tumult, that must be exaggerated to be able to negotiate it later, and that as it attacks many fronts at the same time, it transmits a sensation of widespread chaos. But it could be worse: 20 extra points of tariff to China were applied and there is no exchange crisis. The war began and the euro can be seen. The dollar is not a shelter, because no one runs in search of coverage. There is no need for an agreement place like in 1985 to stop the super-dollar. That is, we skip a complicated stage, completely. That is why Trump can advance more with tariffs.
Q.: Where he could not do it was with the neighbors, Mexico and Canada, its USMCA partners.
GG: Because there – there of the strict framework of the Free Trade Agreement – cannot also be executed without paralyzing the US industry.
Q.: All this has a cost. That is not less. And that foreigners do not pay. Consumer confidence is the lowest since 2022. His inflation expectations, the largest since 1991. Even when inflation climbed to 9%, in June 2022, they were so high. Is that passenger? Or is it a sign of the future that awaits us? Less activity and more inflation. It is the worst of the worlds.
GG: Trump defeats, but does not convince. That is what the consumer says, in short. The bag was convinced of a better world when it still established a record after record, until February 19. I didn’t see this horror movie when Trump was spent by the trailer. With the bonds, the story was totally the other way around. Million’s question is when Trump makes the turn, or decelerates and negotiates.
Q.: If it occurs before colliding or not.
GG: As is. The other alternative is that we are convenient for us to take us a better world.
Q.: That they are the consumer, the entrepreneurs, the investors, all who are frightened, those who are wrong.
GG: Correct. The globalists, as he calls them.
Q.: What will the Fed do, whose meeting concludes this Wednesday? At another time, with so much damn weakness, it could be the Fed that rehearses the turn, before anyone else.
GG: The Fed has already anticipated. The rate lowered in the last three months of 2024, at least half a point more than the strictly necessary. But now look from the side. If possible, he prefers not to make specific comments, although that stage of dispensing is rapidly exhausted. It will be interesting to listen to Powell at the press conference, but even more to tread the points map and see if the position changed there. With consumer inflation expectations, I should be in a brete, but since the implicit expectations in bond prices did not change much, and effective inflation either, Powell can keep patience and become disregarded for a while.
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
