Post Monday: No Games from the Europeans and the Security Guarantees versus Territory Tradeoffs

Monday came and went uneventfully for market volatility in what is becoming another huge win for Trump. Let me de-compact some of the key macromarket factors at work here. First, and few people would have predicted this not so long ago Trump has not only not shattered the European--US alliance but strengthened it in ways … Continue reading Post Monday: No Games from the Europeans and the Security Guarantees versus Territory Tradeoffs

Checkmate: Trump Wins on Tariffs

I wrote in earlier posts about the genius of Trump's tariffs in turning globalism on its head reestablishing American hegemony, the swimming pool analogy of increasing private spending while decreasing public spending, and even the potential risks with tariffs if not correctly approached in posts on the counterfactuals and the potential "carpenter problem." Here I … Continue reading Checkmate: Trump Wins on Tariffs

A Short List of Potential Black Swan Macro-political (geo-political) Risks

The market, of course, refers to black swan events (and you can get the full history of the term elsewhere) as, so to speak, unexpected, off the probability curve events that lead to extreme market volatility. But I would argue usually they aren't really actually that unexpected. Often in fact they are even quite predictable … Continue reading A Short List of Potential Black Swan Macro-political (geo-political) Risks

Part 3: After Discussing the Genius of Tariffs, Now Let’s Consider the Counterfactuals

In two earlier posts I explained the genius of Trump's tariff strategy which are considerable. I also said this site was apolitical, though judging by some of the comments received you might not have believed me. I made the point repeatedly that wherever you fall on the political spectrum you need to understand the concepts … Continue reading Part 3: After Discussing the Genius of Tariffs, Now Let’s Consider the Counterfactuals

Getting Down to Specifics on the Trump Reciprocal Trade Tariff Strategy

In this post I want to go beyond simply the usual vague discussions of Trump's tariff strategy. In earlier posts which I recommend you read I considered the general theoretical strategic issues at a higher level that sought to explain the major changes involved ignored by many market participants still incorrectly starting with the international … Continue reading Getting Down to Specifics on the Trump Reciprocal Trade Tariff Strategy

Reflections on Trump’s Upcoming Tariff Model

Here we are beginning to consider some of the key conceptual ideas market participants need to understand going into the new tariff regime under the current administration. This post is neutral as is this site about the specific politics involved. Whether one agrees or disagrees with the new regime you need to understand conceptually what … Continue reading Reflections on Trump’s Upcoming Tariff Model