It’s probably not a big surprise that the liberal-left mainstream legacy media are doing everything they can to paint a negative picture of President Donald Trump’s economic policies.
Now, we’ve become accustomed to the political media going after Trump for years, with phony accusations and mistaken conclusions.
But now the fake news has spread to the economic and business media. And that’s really a pity.
Reputable economists and economic journalists are ganging up on Trump, using tariffs as a stick to beat him over the head.
It’s like the ‘Russia, Russia, Russia’ narrative has now come to economic coverage. And, remember, ‘Russia Russia Russia’ actually turned out to be one big hoax.
Well, now it’s ‘recession, recession, recession’ — yet another hoax.
Tariffs are going to cause a recession. Tariffs are going to cause inflation. Tariffs are driving down the stock market.
‘Russia, Russia, Russia’ — that’s what I’m reading.
People need a filter to get through all this craziness.
First of all, there is no recession.
In fact, Breitbart’s John Carney points out that the labor market is actually stronger than economists thought, and factory jobs are coming back. The January JOLTS report shows 30,000 new manufacturing job openings, and 30,000 new manufacturing hiring. The quits rate has gone up. The S&P global manufacturing PMI has hit its best level since June of 2022. The February employment report was solid.
Some usually reputable economists were predicting a bulging February CPI report because of tariffs. But the tariffs haven’t really kicked in yet. And the report itself was lighter than expected, with the lowest number in several months.
And corporate profits, the mother’s milk of stocks and the lifeblood of the economy, are still rising.
Bond yields and mortgage rates are actually falling. So are oil prices.
Former Treasury Secretary Steven Mnuchin said that “people are overreacting to Trump policies” and he does not see signs of an imminent slowdown in the U.S. economy.
Let me quote my old friend. “I don’t think we’re going to have a recession. I don’t think the outlook looks like we’re going to have a recession,” he told another network.
I think he’s absolutely right.
Short-term stock corrections come and go. But Trump policies are profoundly pro-growth.
He aims to reprivatize the economy — with tax cuts, deregulation, energy production, and a reciprocal trade policy.
When those policies are fully in place, there’s a strong potential for 3% growth or better, alongside reduced inflation.
And, regarding tariffs, let’s step back and see how this story turns out in the next six to twelve months.
It could well be that Mr. Trump, The Great Negotiator, will wind up with far more tariff reductions than increases.
And, anyway, his business and personal tax cuts are, frankly, far more important to our economic future.
