The Donald needs to have mucho growth to fulfill his plan, otherwise the deficit will become too big a burden to manage.
They are saying the next 100 days are kinda crucial. Pretty much a lot of momentum has to be sustained.
So there is a possibility this could work, but of course there are unintended consequences, there is the risk of inflation, and room for some pretty big mistakes.
So on one hand he kills the economy with tariffs and trade wars, but stimulates business enough to not create a collapse.
Then again the debt problems of the consumers, the car loans, the commercial real estate loans that need to get rolled over, high mortgage rates, and the government deficits are a lot to unravel that are certainly a drag on the economy. They pretty much are still problems that remain.
So maybe we have a need for a complete collapse in our economy to reset it. What coulda or shoulda happened in 2007-2008 might happen still.
Right now Wall Street is looking at some crazy growth that really isn’t real yet, and the debt and deficit burden has been somehow discounted. The growth that happened last year I think involved a lot of stockpiling, and hoarding to create a buffer for supply disruptions, higher prices, inflation, tariffs…
This buffer won’t last too long, perhaps a full quarter or 100 days from now. Sometime after March a reality check will happen. I don’t see things as being so great. As they say, “The markets don’t like uncertainty” and pretty much that is what lays ahead.
Expect insanity…
Cal