Experts in economics caution about significant dangers linked to US tariff strategies
The US stock market has entered a bear market, marked by the Nasdaq Composite Index falling more than 20 percent from its recent peak. This development represents a noteworthy milestone, indicating a sustained decline for the tech-dominant sector.
TroibNews 
The US stock market has officially entered a bear market, with the Nasdaq Composite Index experiencing a decline of over 20 percent from its recent peak. This development signifies a noteworthy milestone, indicating a prolonged downturn for the technology sector.
In just a span of two days, the broader market witnessed an astonishing $47 trillion loss in value, with the "Big Seven" tech giants—such as Apple, Microsoft, and Amazon—facing a collective drop of $13 trillion in market capitalization.
Compounding the negative outlook, JPMorgan has updated its forecast for the US economy, as reported by wallstreet.cn. The investment bank now anticipates that the United States will likely face a recession by 2025. The ongoing tightening of monetary policy, including continued interest rate hikes, is projected to significantly hinder economic growth.
On a global scale, US tariff policies have come under heavy criticism from economists, who argue these measures lack economic rationale and could have long-lasting adverse effects on the US economy.
Peter Boehringer, a senior fellow at the Peterson Institute for International Economics, commented that the tariff calculations of the Trump administration are unfounded, labeling them as completely fabricated.
Dean Baker, a senior economist at the Center for Economic and Policy Research, pointed out that the current tariffs constitute the largest trade escalation observed in recent years and are likely to impede US economic growth, increase inflation, and provoke severe retaliatory actions from trade partners.
Additionally, Clay Ramsey, a researcher at the University of Maryland's Center for International and Security Studies, cautioned that although President Trump's tariff strategy may seem to provide short-term negotiating advantages, it is likely to impose significant costs on US consumers and businesses over time, particularly affecting middle- and lower-income groups.
As global economic risks continue to rise, experts are advocating for more rational and sustainable economic policies to tackle inflation, trade relations, and growth to prevent an extended period of economic hardship.
Max Fischer contributed to this article for TROIB News
In just a span of two days, the broader market witnessed an astonishing $47 trillion loss in value, with the "Big Seven" tech giants—such as Apple, Microsoft, and Amazon—facing a collective drop of $13 trillion in market capitalization.
Compounding the negative outlook, JPMorgan has updated its forecast for the US economy, as reported by wallstreet.cn. The investment bank now anticipates that the United States will likely face a recession by 2025. The ongoing tightening of monetary policy, including continued interest rate hikes, is projected to significantly hinder economic growth.
On a global scale, US tariff policies have come under heavy criticism from economists, who argue these measures lack economic rationale and could have long-lasting adverse effects on the US economy.
Peter Boehringer, a senior fellow at the Peterson Institute for International Economics, commented that the tariff calculations of the Trump administration are unfounded, labeling them as completely fabricated.
Dean Baker, a senior economist at the Center for Economic and Policy Research, pointed out that the current tariffs constitute the largest trade escalation observed in recent years and are likely to impede US economic growth, increase inflation, and provoke severe retaliatory actions from trade partners.
Additionally, Clay Ramsey, a researcher at the University of Maryland's Center for International and Security Studies, cautioned that although President Trump's tariff strategy may seem to provide short-term negotiating advantages, it is likely to impose significant costs on US consumers and businesses over time, particularly affecting middle- and lower-income groups.
As global economic risks continue to rise, experts are advocating for more rational and sustainable economic policies to tackle inflation, trade relations, and growth to prevent an extended period of economic hardship.
Max Fischer contributed to this article for TROIB News
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