US investors and economists warn of a potential economic slowdown under Donald Trump’s presidency. Trump’s protectionist policies, combined with erratic decisions, are taking a toll on growth.
In his inaugural address on January 20th, Trump stated that the “golden age” of America begins now. However, in recent weeks, many have questioned this assertion as investors and economists struggle to grasp a less optimistic outlook for the economy.
One example is El Salvador’s failed cryptocurrency experiment. The country recently curtailed its crypto project, a move seen as necessary to secure an IMF bailout worth paying for.
India has also broken a long-held myth about poverty reduction in developing countries. Extreme poverty levels have dropped significantly, contradicting popular assumptions.
Trump’s economic policies are also sparking concerns among investors. Treasury yields are falling sharply, not due to his desired effects, but rather the market’s response to his protectionist stance.
As the bond market views Trump as a formidable opponent, it remains to be seen how his presidency will impact the US economy in the long run.
Source: https://www.economist.com/finance-and-economics/2025/03/02/america-is-at-risk-of-a-trumpian-economic-slowdown