Former President Donald Trump recently expressed his view on the current state of the U.S. economy, stating, “We have an economy that’s so fragile, and the only reason it’s running now is it’s running off the fumes of what we did — what the Trump administration did, it’s just running off the fumes. And when there’s a crash, I hope it’s going to be during this next 12 months, because I don’t want to be Herbert Hoover.”
Trump made these remarks during an interview with pundit Lou Dobbs. He continued to criticize President Joe Biden’s handling of the economy while also predicting that a crash would hit the markets.
It is worth noting that Herbert Hoover was president during the infamous stock market crash of 1929.
In response to Trump’s comment, a spokesman for the Biden White House, Andrew Bates, issued a statement criticizing Trump’s lack of empathy. The statement emphasized that the duty of a commander-in-chief is to prioritize the well-being of the American people and to refrain from hoping for economic pain for political gain.
During the 2020 White House race, Trump had previously predicted that a Biden victory would lead to a catastrophic stock market collapse. Last month, Biden playfully referenced this prediction as the Dow industrials reached all-time highs, sarcastically saying, “Good one, Donald.”
As Trump leads the 2024 Republican presidential primary, it appears likely that he will once again go head-to-head with Biden in this year’s White House race.
A Look at Consumer Sentiment and Economic Outlook
In other news, consumer sentiment finished 2023 on a positive note as inflation eased. This development offers hope for a more stable economic environment in the coming months.
Economists, however, remain uncertain about whether the current state of affairs will amount to an actual recession. Nonetheless, they believe that the United States is heading towards a soft patch.
Stock Market Performance under Biden
Despite recent gains, the stock market’s performance under President Biden continues to lag compared to the administrations of both Obama and Trump. Even as the Dow industrials reach new highs, it remains clear that Biden has yet to achieve the same level of success in this regard.
As the 2024 White House race heats up, Iowa GOP caucuses become increasingly important. Trump’s support level will be a significant factor to watch, and while it is possible for Haley to secure the nomination, it remains improbable.
It will be interesting to observe how these events unfold and how they impact the economy and the stock market in the months to come.