As his foolhardy tariff and trade policies take hold across the globe, Donald Trump can only stand by and watch while the stock market continues to fall, prices rise to levels not seen since his mishandling of the COVID pandemic, and the United States steadily marches toward a recession.
All of that has investors nervous, and most of them are suggesting things are going to get much worse before they improve, according to a sobering report from The Independent.
“Investor feeling was only worse in the aftermath of the 9/11 terror attack, the global financial crisis, Trump’s first-term trade war with China, and the 2022 inflation crisis.”
The Bank of America Fund Manager Survey, which looks at the opinions of 164 global fund managers who manage $386 billion in assets, was conducted two days after Trump announced a new round of tariffs as part of what he dubbed “Liberation Day.”
“The data captures a variety of alarming signs for the global economic outlook. Growth expectations fell to a 30-year low, with nearly half of fund managers saying they expected a ‘hard landing’ for the global economy over the next 12 months.”
With Trump now suggesting he may attempt to remove Jerome Powell as head of the Federal Reserve, the predicted recession could come as soon as this summer, which would be devastating at a time when Americans are already suffering from rising prices and other economic pressures.
Also on the horizon is what economists call “stagflation” which is defined as “an economic condition characterized by slowing economic growth, high unemployment, and rising prices (inflation) simultaneously.”
“Ninety percent of fund managers said they expected to see the dreaded stagflation — rising prices and slowing growth at the same time — in the next 12 months. Roughly 42 percent of investors polled expect a global recession, the highest level since June 2023 and the fourth-highest mark on this question in the last 20 years.”
None of this should surprise anyone who knows Trump’s history as a businessman, which included multiple bankruptcies, charges of bank and tax fraud, and the collapse of his so-called business empire, which is little more than attaching his name to numerous ventures, most of which fail within the first few months.
Donald Trump is doing to the American economy what he did to Trump Enterprises, and that means we’re all screwed.
