Donald Trump refused to rule out the possibility that the U.S. economy would fall into recession this year, and inflation would rise as his chaotic trade tariff policy leads to uncertainty and market turmoil.
The U.S. president predicts that his economic goals will take time and transitional times to bear fruit. But when asked in an interview with Fox News “Sun Morning Futures” “Do you expect a recession this year?” he expressed his disgust.
“I hate to predict things like this. There’s a transition for a while because we’re doing a lot. We bring wealth back to the United States. That’s a big deal. And there are always some periods, it takes a little time. It takes a little time, but I think it should be great for us,” Trump said.
Asked if he thinks his tariffs on U.S. imports would intensify inflation, he said: “You might get it. At the same time, guess what? Interest rates are falling.”
He downplayed the recent stock market volatility, which was his evasion and weaving of tariff policies on Canadian, Mexico and China’s exports and similar threats to other countries, despite his usual market performance related to the politics of the day and having stock interest when it emerged on stocks.
“You have to do the right thing,” he said.
Last week, the Atlanta Fed’s recommendation to sign the U.S. economy in the first quarter sparked concerns that the recession could hit the world’s largest economy if weakness persists and exacerbates the stock market’s shock.
In 2018, Trump posted on Twitter, now X, “Trade Wars Are Good, Easy to Win”, a view that has not been widely shared by financial and economic experts.
However, his overall caution was followed Sunday after he bragged on a swift campaign that would bring to the U.S. economy and the finances of ordinary Americans.
Fox News’ futures host Maria Bartiromo introduced the recession by telling Trump “Look, I know you’re a mess,” and while most experts agree, Democrats’ predecessor Joe Biden has allowed the Republican president to stabilize inflation, which has been a long and long-lasting high for a long time, but continues to decline and international trading conditions, keeping us stable.
Meanwhile, also on Sunday morning, NBC’s Meet the Press TV Politics Show was interviewing U.S. Secretary of Commerce Howard Lutnick.
He renewed his fear that the prospect of Trump’s global tariffs would lead to a recession in the United States. “Absolutely not,” he said. “There will not be a recession in the United States.”
Lutnick added: “Anyone who bets on Donald Trump, like those who think Donald Trump wouldn’t win a year ago… You’ll see the greatest growth from America in the next two years… I’ll never bet on a recession, no chance.”
