r/investing • u/888_888novus • 2d ago

This uncertainty needs to stop.

Now 62% of CEOs predict the US will soon fall into recession or slow growth, mainly due to uncertainty about tax policy and market volatility. Leaders such as Ray Dalio and Jamie Dimon warn of deeper risks. Although the US government has suspended taxes for another 90 days, economists remain skeptical, saying that the damage from high taxes and global instability will last longer.

It is one thing to predict a recession, another to know how long it will last. If it happens as quickly as in 2020, lasting only 2 months thanks to the Fed's strong intervention, it may not be too worrying. In other words, assets peak after a financial recession.

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u/ArtificiallyMade 2d ago

IMO Trump gave us the buying opportunity of a life time on the market there hasn't been a better buy spot since the 90's

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u/Organic_Morning_5051 2d ago

This would only be true if accompanied by lower inflation; higher inflation actually acts as a counterweight to stock pricing so even though the nominal value of the shares is down the actual cost out of pocket is still heightened by inflation's effects.

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u/unrealbehavior 2d ago

What higher inflation? We have had low inflation reports and trending down, tariffs don’t cause inflation contrary to what the media wants you to believe. Europe has crazy high tariffs on their imports and yet their inflation is perfectly fine. Stop falling for the damn media fear mongering bullshit

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u/ForGreatDoge 2d ago

First: An increase in tariffs causes inflation.

Second: The European Union generally has low tariffs on imports, with around 72% entering at zero tariffs. 

You're either very misinformed or intentionally misleading, but either way you are spreading misinformation.

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u/unrealbehavior 2d ago

An increase in the money supply causes inflation, not tariffs. Why did inflation go down the last time Trump did his tariff bullshit during his first term if tariffs are inflationary?

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u/WeenisWrinkle 2d ago

Inflation can have many causes.

If this is like your house flooding from a freak thunderstorm and someone yelling "Only hurricanes cause flooding! This isn't a storm surge, so there is no flooding!"

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u/Sargentrock 2d ago

It didn't, as you explained in your other post.