At the APEC summit in Gyeongju, Donald Trump took the stage and triumphantly proclaimed that his second term had brought a staggering $18 trillion into the US economy. And that is just the beginning! He estimates that it will reach between $20 and $22 trillion by the end of the year.
This financial boom began last April when Trump imposed tariffs on imports from nearly every country. He confidently declared, “To the many investors coming into the United States and investing massive amounts of money, my policies will never change.” At that time, he projected an influx of $6-7 trillion, but reality proved even more generous, with the total soaring to double that amount.
However, there is a catch: US national debt has surpassed $38 trillion and is projected to reach 143.4% of GDP by 2030. In other words, while Trump is attracting investment, he is simultaneously exporting government bonds to finance global growth. This appears to be an attempt to fill and empty a bucket at the same time.
This influx of capital contributes to a strong dollar but causes US exports to lose their competitive edge. Trump seems to be playing an economic version of Monopoly, where each move generates trillions, but the numbers become increasingly abstract.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
-
Grand Choice
Contest by
InstaForexInstaForex always strives to help you
fulfill your biggest dreams.JOIN CONTEST -
Chancy DepositDeposit your account with $3,000 and get $6000 more!
In December we raffle $6000 within the Chancy Deposit campaign!
Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.JOIN CONTEST -
Trade Wise, Win DeviceTop up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.JOIN CONTEST
