• A report on Sunday from The New York Times claims that President Donald Trump has been privately griping to aides and allies that opponents are exaggerating the prospects of economic downturn to hurt his chances of re-election.
• Trump said something similar publicly as well. “The Fake News Media is doing everything they can to crash the economy because they think that will be bad for me and my re-election,” he tweeted last week.
• Trump’s tweet was in response to a few market indicators numbers along with a tanking stock market. Last week, an inverted yield curve in the US bond market inverted also aggravated concerns of a possible recession.
• A report released on Monday noted that 38% of the economists are predicting a 2020 recession owing to Trump’s tariffs and widening government budget deficit.
• While numbers suggest a slowing economy, Trump told reporters on Sunday, “We’re doing tremendously well. Our consumers are rich. I gave a tremendous tax cut and they’re loaded up with money.”
• Trump also criticized Federal Reserve chairman Jerome Powell, whom he himself selected to lead the Fed. Powell is scheduled to give a speech on Friday. It will be closely watched for any hints on the interest rate cuts, something that Trump has been lobbying for.
Obama inherited a financial crisis upon inauguration in 2008. Donald Trump’s takeover of the oval office was quite a bit different. He had no threats of financial dangers to worry about during his first years as president, but he shouldn’t have taken that for granted, nor should he have taken credit for it. As ominous predictions tell us that the economy could tip into a recession, Trump insists that even this is another product of individuals and the media conspiring against him.
We’ve seen the president react to numerous issues with a penchant for defensiveness, to put it lightly. Whether he’s facing scrutiny over his inflammatory language and rhetoric, rapid-fire removals of employees, or his suspicious ties with Putin, we’ve seen him lash out to the public time and time again. His brain is filled to the brim with paranoia, unfounded conspiracy theories, complete and utter mendacity, and visions of grandeur. Everyone must be out to get him. In this case, unfavorable economic predictions must be the doing of Jerome H. Powell, his own handpicked Federal Reserve chair. Suddenly, according to Trump’s logic, Powell has grown two devil’s horns and deserves to stand in the same corner as the Fake News Media. It must be all of their faults.
Shall we recall how Donald Trump explained the good economy he inherited? Miraculously, the sitting president claimed it was his doing—which it wasn’t. But here it is again, blatantly thrown in our faces: unapologetic hypocrisy. Whenever a good thing happens, it was his doing. Whenever a bad thing happens, or a bad thing might happen, he throws his hands in the air and makes it clear that he had nothing to do with it. His behavior can be easily construed as a DSM-5 symptom list. Now who shall make an appointment for him?
Mr Trump has posted a series of critical tweets in recent months aimed at the Federal Reserve and its chief Jerome Powell. Last week the president called him "clueless" for not cutting rates sooner.
A US-China trade war, gloomy economic data from Germany, and uncertainties over the UK's exit from the European Union have unsettled share markets.