- JPMorgan warns that Trump’s aggressive new tariffs could trigger a U.S. recession by late 2025, with rising inflation and unemployment.
- Global markets, including stocks and crypto, are tumbling as investors turn to safe-haven assets like gold and Bitcoin.
A storm is brewing over the U.S. economy, and JPMorgan is sounding the alarm. The bank’s latest forecast warns that President Trump’s aggressive tariff policies could plunge the country into a recession by late 2025, with inflation spiking and unemployment reaching 5.3%.
https://crypto-newsmedia.com/can-xrp-follow-teslas-path-to-a-2474-rally-a-historical-pattern-suggests-its-possible/At the heart of the crisis are Trump’s new “reciprocal tariffs,” aimed at correcting long-standing trade imbalances. Countries with large surpluses against the U.S., including India and China, are in the crosshairs—and more tariff hikes are reportedly on the way. The ripple effects are already being felt across the globe.
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Federal Reserve Chair Jerome Powell added to the concerns, cautioning that the economic impact of these tariffs may be deeper than anticipated. JPMorgan now expects inflation to reach 4.4% by year’s end—far above the Fed’s target. Interest rate cuts are likely on the horizon, but Powell is urging patience, signaling a slow and cautious approach.
Global markets aren’t waiting to react. China has slapped a 34% tax on U.S. goods, sparking fears of a full-scale trade war. The result? A $5 trillion wipeout from the U.S. stock market, and a sharp downturn in global equities and crypto.
Bitcoin, once hailed as a safe haven, briefly spiked to $88,500 before tumbling. Major altcoins like Solana and Dogecoin dropped by as much as 4.5%. Fear, uncertainty, and doubt are now gripping the crypto sector.
Still, there’s a silver lining. XRP surged 2% after the SEC dropped its case against Ripple, injecting a dose of optimism into an otherwise shaky market.
For investors, the message is clear: buckle up. Analysts suggest watching the stock market and liquidity metrics closely. Gold, Bitcoin, and other safe-haven assets may offer refuge—but volatility is likely to remain high as the economic picture continues to shift.
As Trump’s tariff gambit unfolds, the world braces for impact—and a potential recession that could define the next chapter of the global economy.
