As time goes on, it’s becoming abundantly clear that Trump isn’t going to be able to prevent a major financial crisis in this country. Depending on your beliefs, that’s either because he’s inept in some way, or because he’s being hamstrung by a political system that’s determined to keep our nation on the same unsustainable path. Whatever the case may be, it seems that there is no way that we can change course at this point. We’re headed for a financial crisis, and it’s going to happen sooner rather than later.
That’s also the opinion of David Stockman, a former Congressman and director of the Office of Management and Budget under Ronald Reagan. In this interview with USA Watchdog, he reveals why the market rally that broke out after the last election, “was the greatest sucker’s rally we have ever seen.” He also explains why the economy could go off the rails this year, after our government endures a major budgetary crisis.
Earlier this month our government avoided a shutdown, because Trump decided to sign Congress’s $1.2 trillion spending bill. In effect, he postponed a serious fight with Congress for later this year.
On May 2nd he tweeted “Our country needs a good ‘shutdown’ in September to fix mess!” So clearly, next time he’s going to be a lot less compromising in his efforts to change the budget. That’s going to spawn a fight over the budget between Trump and both political parities, and according to Stockman, that’s when the next wave of our financial collapse is going to arrive.
“There will be no bid for the stock once the panic sets in. We’re going to hit an air pocket. The S&P 500 is going to drop by hundreds and hundreds of points sometime over Click to see the original article