...Lutnick wants to remove Govt expenditure from GDP? Trump 2.0 wants to re-privatise the economy by reducing Govt spending?
...if it wasn't for yes Biden's wasteful Govt spending, the US would have been in recession. So Trump 2.0 wants to show that it was all propped up by cutting Govt spending to bare bones and show who's naked.
...except that Trump 2.0 who can continue blaming Biden many times over, is now in charge. For a short while, it will resonate to his supporters that Biden was mismanaging, but they will soon be thinking and feeling what Trump 2.0 does not help them but only making things worse.
...short term pain for long term gain? Given the fragility of the economy, the short term pain and the approach he takes will smash the economy and markets into a collapse and maybe thereafter it would be pyrrhic victory if there was a longer term gain- but what use are deregulation and tax cuts if the economy sinks into a GFC 2.0 or a similar major systemic event from a stock market collapse precipitated by his short term pain? And there won't be a deficit reduction either because of the 4.5T tax cuts. AND we have not even factored the retaliatory tariffs and possible international boycott of US ahead.
...Gambling with the economy with a different approach when all others have not worked? OR a deliberate plan to demonise the prior establishment to build a new 'brand' for Trumpism and execute a transfer of wealth to sycophants and supporters?
....As with all Cults, they will end with a Disaster before the cult ends.
Goldman Sachs is reportedly planning another round of job cuts in the coming months. The cuts will affect 3-5% of staff (up to 2,250). They're expected to happen in May.
https://x.com/MacroEdgeRes/status/1896583770662482142
