President of the United States states that the economy is in a “period of transition” amidst uncertainty regarding his trade policies.
President of the United States, Donald Trump, has refrained from ruling out the potential of the largest economy in the world experiencing a recession, amidst concerns expressed by the market regarding his “America First” economic plans.
In an interview with Fox News that aired on Sunday, Trump chose not to predict the occurrence of a recession in the current year when asked.
“I don’t like to make predictions like that. We are currently going through a period of transition, as we are bringing wealth back to America. This is a significant developmental process,” Trump stated in an interview with Sunday Morning Futures.
“It takes some time, but I believe it should be beneficial for us.”
Trump’s statements come amidst worries in the market, which are caused by his alternating announcements about tariffs, as well as indications of a slowdown in the US economy.
Last week, Trump imposed 25 percent tariffs on goods imported from Mexico and Canada and doubled the rate of duties on Chinese products to 20 percent.
However, just two days later, he announced that some tariffs on goods imported from Mexico and Canada would be postponed until April 2.
The S&P 500 index decreased by more than 3 percent from last Monday to Friday, marking its worst weekly performance since September.
On Thursday, the GDP tracker of the Atlanta Federal Reserve downgraded its estimate for the period between January and March to a contraction of 2.4 percent, from a previously estimated expansion of 2.3 percent in the previous month.
On Friday, Goldman Sachs increased the likelihood of a recession occurring within the next 12 months from 15 percent to 20 percent.
A more encouraging sign for the economy’s prospects was the addition of 151,000 jobs in January, as reported by the US Bureau of Labor Statistics on Friday. Although this figure was somewhat below economists’ predictions, it aligned roughly with the 2024 average.
In an interview with NBC later on Sunday, US Commerce Secretary Howard Lutnick dismissed the conversation about possible recession.
“Donald Trump is a winner. He will succeed for the American people. This is simply how it will turn out,” Lutnick said during an interview with Meet the Press.
“There will be no recession in America.”
“I would never wager on a recession,” Lutnick added. “No possibility.”
In an interview with Fox News that aired on Sunday, Trump chose not to predict the occurrence of a recession in the current year when asked.
“I don’t like to make predictions like that. We are currently going through a period of transition, as we are bringing wealth back to America. This is a significant developmental process,” Trump stated in an interview with Sunday Morning Futures.
“It takes some time, but I believe it should be beneficial for us.”
Trump’s statements come amidst worries in the market, which are caused by his alternating announcements about tariffs, as well as indications of a slowdown in the US economy.
Last week, Trump imposed 25 percent tariffs on goods imported from Mexico and Canada and doubled the rate of duties on Chinese products to 20 percent.
However, just two days later, he announced that some tariffs on goods imported from Mexico and Canada would be postponed until April 2.
The S&P 500 index decreased by more than 3 percent from last Monday to Friday, marking its worst weekly performance since September.
On Thursday, the GDP tracker of the Atlanta Federal Reserve downgraded its estimate for the period between January and March to a contraction of 2.4 percent, from a previously estimated expansion of 2.3 percent in the previous month.
On Friday, Goldman Sachs increased the likelihood of a recession occurring within the next 12 months from 15 percent to 20 percent.
A more encouraging sign for the economy’s prospects was the addition of 151,000 jobs in January, as reported by the US Bureau of Labor Statistics on Friday. Although this figure was somewhat below economists’ predictions, it aligned roughly with the 2024 average.
In an interview with NBC later on Sunday, US Commerce Secretary Howard Lutnick dismissed the conversation about possible recession.
“Donald Trump is a winner. He will succeed for the American people. This is simply how it will turn out,” Lutnick said during an interview with Meet the Press.
“There will be no recession in America.”
“I would never wager on a recession,” Lutnick added. “No possibility.”
