US President Donald Trump has urged Goldman Sachs’ CEO David Solomon to replace his chief economist, Jan Hatzius, over a report suggesting tariffs will soon hit consumers hard. The report estimated Americans absorbed 22% of tariff costs by June but predicted this share would rise to 67% by October.
Trump claimed the bank’s economists are wrong and that tariffs have not caused inflation or other problems for America. However, his criticism seems at odds with forecasters from other leading financial institutions who warn consumers will experience tariff-related sticker shock.
The latest Consumer Price Index showed consumer prices rose 0.2% in July, keeping the annual inflation rate at 2.7%. Goldman Sachs declined to comment on Trump’s remarks. Hatzius had previously been praised for correctly predicting the US economy wouldn’t enter a recession in 2023.
Source: https://edition.cnn.com/2025/08/12/economy/trump-goldman-sachs