President Trump’s Florida rally was a typical Trump event. It was all about the Trumpster, Champion of Washington, whose reality includes distorted facts, numbers, and statistics. Mr. Trump said he was proud of his economic accomplishments in Orlando. His baseball cap wearing immigrant haters in the crowd gave the Trumpster their complete allegiance when he said his new slogan is “Keep America Great.”
Mr. Trump went back and kicked Hillary a few times. And he tossed Mueller’s name to the crowd in true Trump fashion during his performance. He told the crowd Mueller’s report is all lies. It was a setup to take him down. The economy is his greatest accomplishment thanks to his tax cut that gave the wealthy a chance to make more money. But the tax cut gave average people a dose of Trump’s political snake oil. The truth is the economy is in trouble, according to economists. Investors aren’t investing now that the tech trade war is in full bloom. Trump’s Huawei ban, as well as the tariff situation, created the tech war with China.
Huawei’s CEO Ren Zhengfei told the press, the company’s 2019 revenue projection took a big hit from Trump’s ban. Instead of $130 billion in revenue in 2019, Huawei’s revenue will be $100 billion in 2019. The biggest hit Huawei will take is the sales loss from Huawei phones equipped with the Google Android OS. Ren also said the company’s 2019 profit projection is down $20 billion due to the Trump ban.
The United States semi-conductor sector rakes in $11 billion from Huawei every year. In rural areas of the U.S. Internet providers depend on Huawei’s technology. That’s one reason the big tech companies want Trump to reverse the ban. The State Department decided to add more visa restrictions to Chinese students, and the FBI is on a mission to pull Chinese students out of cancer research programs in order to protect intellectual property. Mr. Trump said President Xi agreed to start talks again before the G20 Summit. But Trump’s critics say the Chinese won’t sit down until Trump lifts the Huawei ban.
Government economic reports say GDP grow in 2019 will be flat. The economy grew by 3.2 percent in 2018. Now that Trump’s tariffs and sanctions are in place, average Americans will have to take another dose of Mr. Trump’s snake oil. Hedge fund investors believe Trump economic and foreign policy agendas could spell a recession for the United States and possibly the world in 2020.
