Great uncertainty and anguish accompany us in these times. It cannot be otherwise when you are targeted by dramatic events. The war in progress, with thousands of deaths, waiting for peace agreements that have not yet materialized. Here then is a new blow to trade, a real revolution that is shaking up the entire world, implemented by the president of the United States Donald Trump. A complex series of is introduced duties distinct by country, which affect production all over the world. From steel to aluminum, from prosecco to grana cheese.
All this to relaunch American production which would suffer from the competition of what is imported into that great country. This action recalls the protectionism which, in the 1930s, characterized the dramatic phase between the Great Depression and the Second World War. There is thus a risk of opening a new era of protectionism capable of inflicting a hard blow to the globalization which had so far produced growth and even a reduction in poverty.
The impact of Trump's tariffs on the dollar and global stock markets
The “Armageddon charts” (the Jewish place where the Last Judgement will take place), as the tables presented by Donald Trump at a press conference show with the presence of all the most representative figures of his world have been called. This announcement has also sunk the dollar, which lost all the gains made since Trump's election.
The “duty folder” has always caused an earthquake in the world stock exchanges with the fall in prices, burning billions of dollars, which have now almost recovered. Also because the president changes his mind every day, although fears of a recession and a inflation picks up. Banca d'Italia has revised the growth but is covering its tracks, specifying that this is an "initial assessment" and warning that negative events could derive from European tensions or prolonged tensions on the financial markets.
Trump acknowledges that the global discussion on tariffs is becoming increasingly heated and launches a three-month moratorium, with the exception of China (although it is being discussed), and for some strategic products such as steel, aluminum and derivatives to which a 25% tariff was applied.
Trump between failed peace attempts and clash with the Fed
We cannot forget Trump's announcement to make the immediate peace in Gaza and Ukraine it did not end well. Wars continue with destruction, death and injuries. In the meantime, an agreement was reached with Ukraine for "rare earths" and it seems that this happened in St. Peter's Basilica, before the funeral of Pope Francis.
There are also moments of armistice. Trump wanted to remove Jerome Powell, chairman of the Federal Reserve, because he considers him responsible for any decline in the American economy. In particular, he does not lower interest rates quickly to encourage the growth that Trump refers to to claim his credit. He wanted to remove him and replace him with someone he trusts, but the Fed has a independent statute so the president, appointed for four years, cannot be removed. He hoped for the intervention of the Supreme Court, but recent negative pronouncements against him have discouraged him so much that he has waited for the expiration of his mandate.
Trump against migrants, judges and universities
Other issues are open such as the forced repatriation of immigrants, the dispute with some law firms guilty of having initiated cases against him and, in general, fight against Judges and supervisory authorities that limit its action.
A tension has also opened up with the University, America's strong point. The American government has ordered the University of Harvard to dismantle the student camps that have sprung up in support of the Palestinian cause, to eliminate programs dedicated to "diversity" and to review the admission criteria for students and professors. Dangerous interventions that tend to hit the ancient Liberal democracy.
