Mon, 07 Apr 2025

Mon, 07 Apr 2025 Billionaire Trump backer warns of 'economic nuclear winter' over tariffs

Bill Ackman says the US president should pause his planned import taxes - or risk shattering investors' confidence.

* Bill Ackman, a billionaire backer of Donald Trump, has urged the US president to pause his recently announced trade tariffs.
* Ackman warned that tariffs risk "a self-induced, economic nuclear winter" and suggested taking three months to renegotiate trading relationships with the US.
* Jamie Dimon, JPMorgan Chase chairman, also echoed Ackman's warning, stating that Trump's tariffs will increase prices for Americans.
* The White House has dismissed a rumor that Trump might put new tariffs on pause as "fake news".
* The baseline 10% tariffs have already gone into effect, while higher "reciprocal" rates are expected to be imposed later this week.
* Some countries are seeking to negotiate lower rates with the White House.
* Business and economic leaders worry that tariffs will push up prices for American consumers and spark a global trade war.
* Larry Fink, head of BlackRock, said tariffs will raise prices and possibly inflation, and contribute to an economic downturn.
* Goldman Sachs estimated a 45% probability of the US entering a recession within the year due to Trump's tariff plans.
* Trump defends the tariffs as necessary for boosting jobs and investment in the US.
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