Agency: Trump will not do what voters want in reducing inflation

Nigel Green, CEO of deVere Group, said in the report that Trump won the election in part because Americans are dissatisfied with inflation, but he may not be able to cool prices as voters expect. Trump's promise to impose tariffs on imported goods may have the opposite effect because importers will pass on the additional costs to consumers. "While the goal is to protect American companies, the reality is that these tariffs may exacerbate the inflationary pressures that Trump promised to ease," said Green. Derek Holt, an economist at Scotiabank in Canada, said that after the US election, companies and markets have reason to be very cautious about the future. The surge in protectionism will almost certainly overshadow the global economic outlook and become a negative factor for US and global economic growth. "Fiscal stimulus for the US economy with excess demand will once again trigger inflation risks and rising yields. The mixed effects of tax cuts and spending cuts are uncertain, but the former may exceed the latter and further increase the US fiscal deficit." Holt also believes that possible negative demographic shocks, negative investment shocks caused by less investment in clean energy, and confusion in supply chain risks will all pose risks. (Jinshi)