Whilst not exactly an eye-opener, the first few pages of Donald Trump’s book, the Art of the Deal shed some light on the incumbent administration’s erratic policing of domestic and international affairs. It appears that the Mr Trump’s attitude to conduct business, whether for his enterprises or country, has not changed over the past 40 years.
With no allusion to impropriety at all it does seem as if Donald Trump is handling tariffs in a way technical day trading is undertaken in markets. When ‘resistance’ due to home influence (car makers) or ugly stock markets is experienced, tariffs are unwound; in circumstances of ‘support’ where concession might be gained, tariffs are increased.
Money is a coward. It hates unpredictability and when it sees one it runs. This has happened to equities, the dollar, and oil as the laws of economics clash with ideology and capriciousness. In the latest twist of the tariff saga US stock indices dropped sharply yesterday with the Nasdaq Composite index down more than 10% in less than 3 weeks.
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