Boomers face a ‘devastating’ blow to their life savings as more tariff pain looms, finance guru warns
From Yahoo Finance: 2025-04-03 13:37:00
President Donald Trump’s tariffs threaten stocks and the economy, causing a 5% drop in the S&P 500 and a 10% slump in the Nasdaq Composite. Baby boomers may suffer disruptions in their retirement plans due to declining stock market values. Finance professor Peter Ricchiuti warns tariffs are “prosperity killers.” Tariffs on imports from all foreign countries unveiled by Trump would further impact the economy.
The S&P futures fell over 3% in premarket trading due to Trump’s new tariffs. Goldman Sachs cut its S&P 500 forecast, predicting a 5% decline this quarter. Tariffs increase costs for companies and consumers, slowing corporate earnings growth. Concerns rise over retaliatory tariffs from other countries, potentially causing a recession.
Trump’s tariffs on various goods have led to price increases and reduced real income for Americans. If tariffs lead to reduced spending and company cutbacks, overall economic growth could suffer. BlackRock CEO Larry Fink expresses concerns over the economy, stating many are more anxious than ever. Tariff chaos threatens further stock market declines, impacting retirees and the economy negatively.
The economy, previously on a good path with falling inflation and record corporate earnings, is now facing self-inflicted economic wounds due to tariffs. The uncertainty and disruptions caused by tariffs could lead to a recession or stagflation, further worsening economic conditions. The looming threat of retaliatory tariffs and declining stock values pose significant challenges for investors and retirees alike.