Tag Archives: economy

Market Reactions to Bombs and Babies: What’s No Longer Surprising — And What Should Be Alarming

by Daniel Brouse June 13, 2025 The most recent geopolitical shock—marked by yet another bombing campaign with tragic civilian casualties, including children—once again shook global financial markets. While the human toll is heartbreaking, the market’s response offers a revealing glimpse into shifting investor psychology and the erosion of long-standing economic assumptions. What Was Not Surprising: […]

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Navigating Volatility: Why I’m Avoiding U.S. Equities and Trading UVIX Instead

For some time now, I’ve advised minimizing exposure to U.S. equities, particularly while the economic and political landscape remains clouded by trade wars and anti-immigration policies. These ongoing disruptions have created a level of uncertainty that makes traditional equity investing unusually risky. My recommendation remains the same: pay close attention to the bond market and […]

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The Math Behind Sequential Tariffs

by Daniel Brouse June 11, 2025 The math of sequential tariffs is both interesting and economically significant. The complexity adds to business uncertainty. For instance, to calculate the total duties on Chinese steel imports — subject to a combined 132.5% tariff rate — you can break it down like this: Starting Point: A $100 shipment […]

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Trump’s FEMA Cutbacks: Disaster for Homeowners or Wake-Up Call on Climate Policy?

by Daniel Brouse June 11, 2025 In a recent statement, President Donald Trump declared, “We want to wean off of FEMA, and we want to bring it down to the state level. A governor should be able to handle it, and frankly, if they can’t handle the aftermath, then maybe they shouldn’t be governor.” He […]

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Trump’s Steel Tariff Déjà Vu: Doubling Down on Economic Damage

by Daniel Brouse June 1, 2025 On May 30, 2025, Donald Trump announced that he would raise tariffs on imported steel and aluminum from 25% to 50%. The announcement took place in Pittsburgh, Pennsylvania—ironically, at the headquarters of U.S. Steel, a company now under foreign ownership after being acquired by Japan-based Nippon Steel. Despite Trump’s […]

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Federal Court Rebukes Trump’s Tariff Plan as an “Unprecedented” Executive Overreach

by Daniel Brouse May 29, 2025 In a landmark decision, a three-judge panel of the U.S. Court of International Trade has struck down President Donald Trump’s sweeping 2025 tariffs, ruling that he unilaterally overstepped his authority by imposing blanket tariffs on all imported goods under a disputed claim of national security. The court called the […]

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Market Volatility Intensifies as Bond Market Sends Clear Warning

by Daniel Brouse May 21, 2025 As anticipated, the stock market is experiencing extreme volatility. This is precisely why I recommended dramatically reducing exposure to equities. The emotional and financial toll of riding this rollercoaster isn’t just unsettling—it’s unsustainable over the long run. Historically, chasing equity rallies in an unstable environment is a losing strategy. […]

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Moody’s Downgrade Ends Century-Long AAA Credit Rating for the United States

by Daniel Brouse May 16, 2025 The United States has just lost its last perfect credit rating, a significant downgrade that could have serious implications for financial markets and the broader economy. On Friday, Moody’s Ratings downgraded U.S. government debt, stripping the country of its long-held AAA rating. This move marks the end of more […]

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China Quietly Retreats from U.S. Debt Market Amid Trade War Volatility

by Daniel Brouse May 14, 2025 Cash flows and foreign treasury holdings in and out of the United States have grown increasingly volatile under the Trump administration’s ongoing trade war. One of the most consequential—and largely underreported—developments is China’s quiet withdrawal from the U.S. Treasury market. Unlike an overt selloff that would signal immediate economic […]

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Tariffs on Trial: Court Case Could Rein in Executive Trade Powers and Stabilize U.S. Economy

by Daniel Brouse May 13, 2025 If the Trump-era tariffs are struck down by the courts, the United States could see a return to more stable and predictable economic conditions. Such a ruling would likely reduce inflationary pressures, ease supply chain disruptions, and reopen channels of global trade—fostering stronger international partnerships and lowering costs for […]

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