Blog Credo

The whole aim of practical politics is to keep the populace alarmed (and hence clamorous to be led to safety) by menacing it with an endless series of hobgoblins, all of them imaginary.

H.L. Mencken

Wednesday, April 23, 2025

The Chaos Will Continue

 Krugman points out the extraordinary corruption in plain sight with Treasury Secretary Scott Bessant speaking to a closed door meeting of J.P. Morgan Chase folks. That is simply a manifest case of insider trading and a violation of open government. The second part was that Bessant basically announced that we will strike a trade deal with China any day now, because what's happening in untenable. Bessant likened it to an embargo, which it is.

So, we have behind closed door reversals of policy coming not from the president who loves tariffs but Bessant, who does not. Will this get reversed? Maybe! Who knows?

It sure looks like the 30 year bond market is still "inverted". The dollar is still weak against the Euro. Layoffs have started. Trump is walking back his attacks on Jerome Powell, but that's only a little comforting, as Powell's term expires next year and you can bet Trump will put some idiot in charge of the Fed.  Maybe Eric?

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