Another Dow Jones Meltdown as Trump’s Trade War hits home

It’s been another meltdown on the Dow as Fed Chair Powell gave comments acknowledging the possibility of stagflation caused by Trumps policies…

Fed Chair Powell gives starkest warning yet on potential economic consequences from tariffs

President Donald Trump’s significant policy changes, including on tariffs, are unlike anything seen in modern history, putting the Federal Reserve in uncharted waters, Chair Jerome Powell said Wednesday.

“These are very fundamental policy changes,” Powell said at an event hosted by the Economic Club of Chicago. “There isn’t a modern experience of how to think about this.”

Powell said “the level of the tariff increases announced so far is significantly larger than anticipated” and that the lingering uncertainty around tariffs could inflict lasting economic damage. With Trump’s tariffs putting the economy on a path toward weaker growth, higher unemployment and faster inflation — all at the same time — the Fed is also facing a situation it hasn’t dealt with in about half a century.

“We may find ourselves in the challenging scenario in which our dual-mandate goals are in tension,” Powell said.

…shit bout to get real folks. Don’t check your KiwiSaver.

It is dawning on the Market that even if this was a negotiating tactic, it’s caused so much damage that the market is forced to now factor it all in.

The idiot clown posse around Trump didn’t calculate how China would refuse to call them first to sort out the Trade War Trump has tripped them into.

The idiocy and gleeful ignorance at what they are causing as Trump reshapes a century of Western economic and foreign policy in 14 weeks truly risks plunging the planet into war.

It is economic shocks like this that trigger the desperation and the economic necessity to go to war.

Trump is generating that with his insane economic policy.

The idea that this is Americas manufacturing future…

…is nonsense.

One of the most interesting features which I didn’t consider was how the rest of the world would punish Trump…

US economy is set to lose billions as foreign tourists stay away

The US economy is set to lose billions of dollars in revenue in 2025 from a pullback in foreign tourism and boycotts of American products, adding to a growing list of headwinds keeping recession risk elevated.

Arrivals of non-citizens to the US by plane dropped almost 10% in March from a year earlier, according to data published Monday by the International Trade Administration. Goldman Sachs Group Inc estimates in a worst-case scenario, the hit this year from reduced travel and boycotts could total 0.3% of gross domestic product, which would amount to almost US$90 billion (NZ$152 billion).

…the attack on the dollar, the bond market, domestic boycotts against American products and the withdrawal of tourism alongside the inflationary explosion of the tariffs is drawing and pushing Trump into desperation.

He will get conned by the crypto-bro billionaire libertarians to move the dollar to a crypto currency, which will then burst in a way that makes the Great Crash of 1929 look mediocre.

The more economic chaos Trump creates, the more likely it is that war will be the end point.

That is how all the great wars start, economic carnage.

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