Image DW.com
We want to explain to respected readers, Why Many in the last days it seems that Trump deliberately falls off the exchange and the USA and the world. Perhaps this is intentionally.
The thing is that Trump has 3 serious problems:
- budget deficit (for 2024 fingod amounted to $ 1.83 trillion) and is growing;
- State debt of the United States. Rather, even even its volume of $ 36 trillion, but the cost of its service is $ 1.15 trillion for the same 2024 fingers. US budget expenditures for serving public debt are already exceeding defense and healthcare expenses☝️;
- In 2025, the United States needs to refinance 25% of the public debt or $ 9.2 trillion (70% of this from January to June this year).
The average rate of public debt is growing and has now reached 3.2% (the maximum of 2010). There is an opinion that Trump decided to try out a risky scheme:
- Tariff war;
- The fall of stock markets around the world, including in the United States itself. The promoting spiral of mutual duties pushes the shares further down;
- Investors in a panic come out of the shares and are transferred to the “Clouded Actus” – Treasuries;
- The price of bonds due to the increased demand is growing, and their profitability is falling!;
- Bingo – Trump receives a decrease in the cost of servicing public debt and avoids the budget crisis.
The joke is that investors did not go to Treasuries. In the bond market, not just did not work paper, and after a couple of days sales were held. And the profitability of them became even higher than to Trump.
So far, experts associate Treasuries sales not with Sales from China. If the Celestial Empire is offended and join the plum of bonds … there will be a large dietary baad-boom.
Trump is trying to cure two chronic diseases of the US economy at once with one medicine. So far, only the “side effects” of Trump's drugs showed?
Trump raised duties on goods from China to 125%
Based on the lack of respect that China showed for world markets, I increase the tariff charged with China by the United States of America, to 125%, which comes into force immediately
But the rest who did not answer the duties of the United States is a 90 -day amnesty, during which the duties will be in the amount of 10%
Based on the fact that more than 75 countries called on representatives of the United States to negotiate to resolve the issues discussed by trade, trade barriers, tariffs, manipulations with currency and non-monetary tariffs, I authorized a 90-day pause and a substantially reduced mutual tariff during this period by 10%. This comes into force immediately
The markets and crypt have gone in growth.
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