The US stock market is showing tough times as it slips into bear territory. Investors have seen the Nasdaq Composite Index fall by over 20% from its recent high, marking a major setback for the tech-heavy sector.
In just two days, a staggering $47 trillion vanished from the broader market, with the "Big Seven" tech giants — including Apple, Microsoft, and Amazon — losing a collective $13 trillion in market capitalization. 😱
Adding to the gloomy outlook, JPMorgan has revised its forecast for the US economy, suggesting that a recession could hit by 2025 as continued interest rate hikes slow down growth. Economic experts are sounding the alarm amid tightening monetary policies.
Critics argue that the current tariff policies are more harmful than helpful. Peter Boehringer from the Peterson Institute for International Economics dismissed the Trump administration's tariff calculations as completely fabricated. Dean Baker from the Center for Economic and Policy Research noted that these tariffs, the largest trade escalation in recent years, may stifle economic growth, raise inflation, and invite severe retaliatory measures from trade partners.
Furthermore, Clay Ramsey at the University of Maryland warned that while President Trump's tariff strategy might seem like a short-term negotiation tool, its long-term impact could impose significant costs on US consumers and businesses — especially affecting those in middle- and lower-income groups. 🚨
As global economic risks mount, experts urge a shift towards more rational and sustainable policies to address inflation, trade relations, and growth. Stay tuned for more insights on this evolving story, with input from Xinhua.
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Economic experts warn of serious risks from US tariff policies
cgtn.com
