Billionaire hedge fund supervisor points chilling inventory market warning: ‘We’ll in all probability go down’
Paul Tudor Jones has issued a chilling warning for the inventory market. Throughout an look on CNBC’s Squawk Field, the billionaire hedge fund supervisor mentioned that share costs will hit new lows even when Donald Trump reduces his tariffs on China to 50%.
Billionaire investor points chilling inventory market warning
“For me, it’s fairly clear. You might have Trump who’s locked in on tariffs. You might have the Fed who’s locked in on not chopping charges. That’s not good for the inventory market,” Jones mentioned. “We’ll in all probability go right down to new lows, even when Trump dials again China to 50%,” he added.
The 70-year-old, whose internet price, in response to Forbes, is $8.1 billion, went on to say, “He’ll dial it again to 50% or 40%, no matter. Even when he does that … it’d be the biggest tax will increase because the 60s,” including, “So you’ll be able to form of take 2%, 3% off progress.”
Jones’ remarks come after the US president shocked the world by imposing aggressive international tariffs. Final month, Trump imposed a whopping 145% tariffs on items imported from China. The Asian nation retaliated with 125% levies on the vast majority of US imports.
“Until they acquired actually dovish and actually, actually minimize, you’re in all probability gonna go to new lows,” Jones went on. “After which once we’re new lows, the exhausting day will begin to observe, and it’ll in all probability create the Fed to maneuver, create Trump to maneuver. After which we’ll get some form of actuality,” he added.
Throughout a latest interview with NBC’s Meet the Press with Kristen Welker, Trump mentioned that he would “ultimately” decrease the tariffs on China. “Sooner or later, I’m going to decrease them as a result of in any other case, you can by no means do enterprise with them,” he mentioned.
Nonetheless, the commander-in-chief cited China’s “collapsing” economic system as the rationale behind his softening stance. “They wish to do enterprise very a lot … their economic system is collapsing,” Trump mentioned.
