Not that Optimistic

On Liberation Day, April 2^nd, I realized how little the markets understand Trump’s train of thought. It is still shocking to me that the world’s top investment firms can’t grapple with the mythic era, led by this once-in-400-years genius.

I consider myself one of the world’s top experts on Donald Trump, and I tell you that, just like in the past, people’s ability to understand the greatness of such a man will only be understood in the decades to come.

There is such rot at the core of the bureaucracy and it stems from the importation of Hegelian philosophy to the United States in the first years of the 20^th century, which resulted in the greatest virus the world has ever known — the erosion of the sacred constitution and the rise of the Nanny State!

Freedom was trampled upon and the generation of Americans, who fought off the European monarchs, did not do a good enough job of warning their grandchildren about the constant danger to their monumental document that secures their freedom.

Today, President Trump is starting the process of educating Americans on the unprecedented rights they possess when they demand the Constitution be upheld.

It is my belief that you should always assume that President Trump will make a decision to do the RIGHT THING, no matter how difficult the path is, because he views the time he received in office, has a mandate from the Founding Fathers and the brave Americans, who fought the greatest empire of its era and won their independence.

After 112 years of Hegelian philosophy in America, Trump is draining the swamp, full stop!

Therefore, I expect MANY MORE rough, tough and challenging times ahead: I don’t buy into the euphoria of the past 9 days, just like I didn’t buy into the Armageddon of Liberation Day.

Courtesy: Zerohedge.com

Here’s what I mean by “doing the right thing:” The markets are now pricing a pivot by President Trump, because the markets think they understand the kinds of pressures that he can withstand, judging by how much their tolerance is like.

I tell you this loud and clear: Trump’s pain tolerance is greater than any living person.

He will do what’s right, even if he has to be the next Galileo Galilei.

Lower tariffs, lower interest rates and lower taxes are priced into this 9-day rally, the longest since 2004, but Powell and Trump are not exactly on best terms.

Trump is telling Powell to cut interest rates, but Powell doesn’t want to appear to be doing what the president is saying—he wants to maintain the Federal Reserve’s “independence.”

If he waits until July or September, the time between now and then will be very interesting.

The reason is that oil prices are down dramatically and that means that the average American does side with Trump. The average American is seeing an ease of financial conditions and lower interest rates would help to jump-start the mortgage industry, at a time that housing is frozen.

Here’s where this gets truly unique: I believe that Scott Bessent is working on a way to lower interest rates for mortgages in a way that bypasses the Federal Reserve.

There is no way that Trump is waiting on Powell, because to him, the central bank itself is unconstitutional. Why would he wait on it?!

Best Regards,

Lior Gantz
President, WealthResearchGroup.com