It’s Trump’s economy now. The latest financial numbers offer some warning signs

Washington – For all the promises of President Donald Trump of an “economic golden age”, a wave of weak indicators this week told a potentially disturbing story while the impacts of his policies are concentrated.

Job gains decrease. Inflation turns upwards. Growth has slowed down to last year.

More than six months after his mandate, Trump’s Blitz of tariff hiking and his new bill on taxes and expenditure renovated the trading, manufacturing, energy and tax -fiscal systems to his taste. It is impatient to take the merit of any victory that could occur and hunts someone else to blame if the financial situation is starting to chance.

But for the moment, it is not the boom that the republican president has promised, and his ability to blame his Democratic predecessor, Joe Biden, because any economic challenges has faded while the global economy hangs on each of his words and social media.

When the Friday job report was definitely dark, Trump ignored data warnings and dismissed the agency chief who produces the monthly job figures.

“Important figures like this must be fair and accurate, they cannot be manipulated for political purposes,” said Trump on Truth Social, without proposing evidence for his complaint. “The economy is booming.”

It is possible that disappointing figures are growing pain in the rapid transformation caused by Trump and that stronger growth will come back – or they can be an even more disruption to come.

The aggressive use by Trump of prices, executive actions, discounts of expenditure and changes in tax code has a significant political risk if it is not able to provide prosperity of the middle class. The effects of its new prices are still several months from the abandonment of the economy, as many Trump allies in the congress will campaign in the mid-term elections.

“Given the early in his mandate, Trump has already had an unusual impact on the economy,” said Alex Conant, republican strategist for Firehouse Strategies. “The complete inflationary impact of prices will not be felt before 2026. Unfortunately for the Republicans, it is also an electoral year.”

The White House portrayed the blitz of commercial executives leading to the announcement of Thursday’s price as proof of its negotiation prowess. The European Union, Japan, South Korea, the Philippines, Indonesia and other nations according to which the White House refused to appoint agreed that the United States could increase its prices on its goods without doing the same to American products. Trump simply set rates on other countries that lacked colonies.

The costs of these prices – taxes paid on imports in the United States – will be the most felt by many Americans in the form of higher prices, but to what extent remains uncertain.

“For the White House and their allies, a key element in the management of expectations and policy of the Trump economy is to maintain vigilance with regard to public perceptions,” said Kevin Madden, a republican strategist.

According to a July survey by the Associated Press-Noc Center for Affairs. It was down from the end of Trump’s first term when half of adults approved his economic leadership.

The White House draws up a more pink image, seeing the economy emerge from a period of uncertainty after the restructuring and repetition of Trump’s economic gains observed during its first mandate before the pandemic strikes.

“President Trump implements the same political mix of deregulation, more equitable trade and pro-growth tax reductions on an even greater scale-as these policies take effect, the best remains to come,” said the White House spokesman Kush Desai.

Economic figures during last week show the difficulties to which Trump could encounter if the figures continue on their current path:

– The Friday job report has shown that American employers have lost 37,000 manufacturing jobs since the launch of Trump’s price in April, undergoing the previous allegations of the White House of a factory revival.

– Net hiring has dropped in the past three months with employment gains of only 73,000 in July, 14,000 in June and 19,000 in May – 258,000 used jobs lower than that indicated above. On average last year, the economy added 168,000 jobs per month.

– An inflation report on Thursday showed that prices increased by 2.6% compared to the year which ended in June, an increase in the price index of personal consumer expenditure by 2.2% in April. The prices of highly imported items, such as household appliances, furniture, toys and games, jumped from May to June.

– Wednesday, a report on gross domestic product – The widest measure in the US economy – showed that it increased at an annual rate of less than 1.3% in the first half, down significantly by 2.8% last year.

“The economy is just doing a little forward,” said Guy Berger, principal researcher at Burning Glass Institute, who studies job trends. “Yes, the unemployment rate does not go up, but we add very little jobs. The economy has increased very slowly. It seems that a” Meh “economy continues.”

Trump sought to blame economic problems on the president of the federal reserve Jerome Powell, saying that the Fed should reduce its reference interest rates, even if it could generate more inflation.

Trump publicly supported two governors of the Fed, Christoper Waller and Michelle Bowman, for voting for rate discounts at the meeting on Wednesday. But their logic is not what the president wants to hear: they were worried, in part, of an slowing job market.

But it is a major economic bet undertaken by Trump and those who push at lower rates under the conviction that mortgages will also become more affordable and will increase the purchase activity of house.

Its pricing policy has changed several times in the last six months, the last import tax numbers serving as a substitute for what the president announced in April, which caused a stock market sale. It may not be a simple unique adjustment like some members of the Fed board of directors and officials of the Trump administration support it.

Of course, Trump cannot say that no one has warned him of the possible consequences of his economic policies.

Biden, then the outgoing president, did exactly that in a speech last December at the Brookings Institution, saying that the cost of the prices would eventually strike American workers and businesses.

“It seems determined to impose steeped and universal prices on all imported goods brought into this country on the erroneous belief that foreign countries will bear the cost of these prices rather than the American consumer,” said Biden. “I believe that this approach is a major error.”