I have not posted for the last few days, I have been under the weather. It is not COVID, I tested for that.
The biggest thing is that Trump is all over the place and has caved again. Various electronics will no longer be subject to tariffs. Even before anyone can adjust to a new tariff things change, yet again.
At this point, I think everyone will assume that the US will drop any tariffs when American businesses squawk loud enough. Trump has caused a lot of damage to the economy and further inconsistency only means business and consumers will think very hard before spending money.
There is an irrational optimism among American investors. They are still not noting how bad the damage to the American economy is already.
Trump's actions have caused nations around the world to look for ways not to deal with the US. Sales of American products are down all over the world. Tourism to the US is down as well. American treasury bonds are losing popularity. These things will continue on till Trump is no longer a president.
Trump is very well known as a person who never stands by his word and will even disavow agreements the US has signed. It would be a foolish government to believe an equitable agreement is possible.
The global boycott of the US is not being led by government or industry; it is being led by the people. No one is telling people they should not buy American. Governments are going to be able to get people to buy American products.
Even as trade with the US falls, the trade deficit will get much larger. How will Trump react when he finds out that his trade deficit with Canada has massively increased? I assume anger followed by a desire to punish Canada for not buying American.
This is enough for today. I have other things I need to work on.
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