Markets expect his policy package to harm trade and growth but reduce business taxes

Summary

Financial markets reacted quickly to Donald Trump’s return to the presidency, with higher share prices, a stronger dollar, and expectations of slower interest rate cuts.

Trump has outlined plans to cut taxes, impose high tariffs, restrict migration, and reduce regulations. Economists warn that his economic policies could hinder growth and drive up consumer prices, while benefiting corporate profits.

Trump’s tariffs, especially a 60% levy on Chinese imports, are expected to strain the eurozone.

Inflationary pressures from his policies may also challenge the Federal Reserve’s efforts to lower interest rates.

  • NegativeLookBehind@lemmy.worldEnglish
    92·
    15 days ago

    America: “Inflation under Biden is awful”

    Trump: “Elect me and I’ll make it worse”

    America: “Yup, that’s our guy”

    • Makeitstop@lemmy.worldEnglish
      14·
      15 days ago

      Trump and the Republicans are about to make things worse for the vast majority of Americans. How much they actually accomplish will probably be at least somewhat limited by infighting and incompetence, But if they fulfill even a fraction of what the campaign promised (to say nothing of the project 2025 roadmap) there will be a lot more things for the people to be upset about.

      • NegativeLookBehind@lemmy.worldEnglish
        7·
        15 days ago

        If they also win the House, how will they blame the democrats for their problems when they have total control?

        Sort of a rhetorical question.

        • Billiam@lemmy.world
          7·
          15 days ago

          Find any state where Conservatives have been in charge for two decades or more and you’ll have your answer.

        • CharlesDarwin@lemmy.worldEnglish
          1·
          14 days ago

          They’ll say the immigrants, Teh Gheyz, the tranz, the uppity wimmenz, the POC, the woke, antifa did it…

  • Wilzax@lemmy.world
    9·
    15 days ago

    The decising factor in most elections is how expensive things feel. Now, the president can’t do a whole lot to make things cost less. But they have a hell of a lot of power to make things cost more. So the BEST we can hope for is a president who slows down how fast things are getting more expensive. But when we’re spending, we don’t feel the current inflation rate, we feel the cumulative effect of inflation for the past few years.