The Alchimist

Asian markets are in the red again this morning, and European equity futures are following suit as investors digest Donald Trump’s latest tariff rhetoric. It’s becoming increasingly evident that the resulting drag on global trade could weigh heavily on economic growth.

Interestingly, some are now floating a more strategic — or conspiratorial — interpretation: that Trump’s tariff threats may be less about protectionism and more about engineering a slowdown in the U.S. economy to force interest rates lower. With $9 trillion in U.S. debt maturing by 2026, pushing yields down could significantly reduce refinancing costs. And with the 10-year Treasury yield now dipping below 4%, this strategy might just be working — for now.

Still, it feels a bit like a successful operation where the patient doesn’t survive. It’s not the time for U.S. presidents to play alchemist with the US economy.