President Trump doesn’t have many tentpole accomplishments to tout as
his presidency enters its third year. He does have the economy, though,
which has boomed since he assumed office back in January 2017. He might
not have it much longer. On Wednesday, Apple CEO Tim Cook warned that
the company wasn’t going to earn as much as expected in the coming
financial quarter. “While we anticipated some challenges in key emerging
markets, we did not foresee the magnitude of the economic deceleration,
particularly in Greater China,” he wrote in a letter to investors. “We
believe the economic environment in China has been further impacted by
rising trade tensions with the United States. As the climate of mounting
uncertainty weighed on financial markets, the effects appeared to reach
consumers as well, with traffic to our retail stores and our channel
partners in China declining as the quarter progressed.”
On Thursday morning, the markets responded as expected. The DOW plummeted over 600 points, the S&P 500 fell 2.2 percent and the Nasdaq dipped 2.6 percent as concern swelled over the impact the president’s trade war will have on the global economy. Since Trump began imposing tariffs last year, economists, politicians and several corporations have warned of their impact, and it’s unclear how much longer the economy will be able to stand the strain of Trump’s trade policy. Over the past year, the president has excoriated suffering companies like Harley-Davidson and, most recently, GM for not having more patience.
As the markets sank on Thursday morning, Trump’s own economic adviser, Kevin Hassett, predicted that the tech giant that in 2018 was valued at $1 trillion won’t be the only American company to experience a downturn. “It’s not going to be just Apple,” he said Thursday on CNN. “There are a heck of a lot of U.S. companies that have sales in China that are going to be watching their earnings being downgraded next year until we get a deal with China.”
Read more: What Happens When the Economy Collapses on Trump’s Watch? – Rolling Stone
On Thursday morning, the markets responded as expected. The DOW plummeted over 600 points, the S&P 500 fell 2.2 percent and the Nasdaq dipped 2.6 percent as concern swelled over the impact the president’s trade war will have on the global economy. Since Trump began imposing tariffs last year, economists, politicians and several corporations have warned of their impact, and it’s unclear how much longer the economy will be able to stand the strain of Trump’s trade policy. Over the past year, the president has excoriated suffering companies like Harley-Davidson and, most recently, GM for not having more patience.
As the markets sank on Thursday morning, Trump’s own economic adviser, Kevin Hassett, predicted that the tech giant that in 2018 was valued at $1 trillion won’t be the only American company to experience a downturn. “It’s not going to be just Apple,” he said Thursday on CNN. “There are a heck of a lot of U.S. companies that have sales in China that are going to be watching their earnings being downgraded next year until we get a deal with China.”
Read more: What Happens When the Economy Collapses on Trump’s Watch? – Rolling Stone
No comments:
Post a Comment