Will Janet Yellen Bring Donald Trump Down?
Out of all the anti President Trump hoopla, perhaps only one individual can actually bring him down. And her name is Janet Yellen. The logic is very simple - allow me to elaborate...
At this juncture President Trump is still anti-establishment. If there is such a thing. Open almost any media outlet and that becomes abundantly clear. Janet Yellen is very much part of the establishment. Has always been.
As discussed on this blog over the last few weeks, the US economy is on a verge of a recession while the stock market (and most other assets) finds itself in a massive bubble. I have beaten this horse to death at this juncture, so I won't go into details here.
Unbelievably, stupidly and recklessly, President Trump has taken ownership of this massive economic mess from Obama/Yellen and has made it his own. As was outlined here Trump Sowing The Seeds Of His Own Downfall
As of today, the rate hike odds for March have soared above 75%.
Should the "Establishment" hike rates now and throughout the year, it is highly probable that they will bring the economy and the stock market crashing down. Especially if Mr. Trump fails to deliver on his tax plan and stimulus promises. Which appears to be likely at this stage.
Most importantly, the outcome above might be exactly what the "establishment" wants.
In other words, Donald Trump might have signed his own economic death warrant and Janet Yellen is an executioner.