Trump’s 300bps Meltdown: Tariffs, Crypto, and Chaos in the Markets!

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The air is thick with turmoil as President Donald Trump lobs yet another unpredictable grenade into the financial markets. His demand for an eye-watering 300 basis point interest rate cut could rival the shocking events of a historic plunge, all while he unleashes a tidal wave of tariffs from Brazil to South Korea. A storm is coming… but not for Bitcoin.

Amid the chaos, the resilient crypto market stands tall and unshaken, with Bitcoin soaring to a new all-time high of $112,000—a price point that would make even the most optimistic HODLers squint in disbelief. 🤑📈

Trump’s Rate Cut: A Bold (and Probably Bizarre) Move

The President is pushing for the largest interest rate cut in history—300 basis points! Imagine cutting 3% off the interest rates as if it were a bargain bin deal at a fire sale. This would be triple the emergency cut of 100bps from March 2020. According to Trump, this move will fuel the economy by saving the government trillions (well, maybe just billions… let’s keep it real), while the market drinks the jet fuel of low rates, seeking the next crypto to explode. 🚀💸

It’s official:

Trump is calling for the first 300+ basis point rate cut ever. So, what would happen if the Fed actually goes through with it? Get ready to be blown away. (Cue the thread)

— The Kobeissi Letter (@KobeissiLetter) July 9, 2025

Trump’s reasoning? The national debt’s interest expenses have skyrocketed to a gut-wrenching $1.2 trillion annually—about $3.3 billion per day. According to him, a 300bps cut would save $1.08 trillion a year. But let’s not get too excited—more reasonable projections suggest around $174 billion savings in the first year, assuming the Fed is feeling generous. 📉💰

To put things in perspective, no cut over 100bps has ever been attempted outside a recession. And spoiler alert—US GDP growth is actually positive at +3.8%. So yeah, this isn’t exactly a recession fix. 🍿

Trump Strikes Again: Tariffs on the Rise

But wait, there’s more! Trump isn’t just focused on interest rates. He’s firing up trade tensions with tariffs on 16 countries, ranging from Brazil (50%) to Japan, South Korea, and the Philippines (25%). All delivered with the casual finesse of sending “tariff letters” like invitations to a party you don’t want to attend. 🙄💌

BREAKING: More tariff letters from Trump—hold on tight!

1. Brazil: 50% 2. Cambodia: 36% 3. Thailand: 36% 4. Bangladesh: 35% 5. Serbia: 35%… and so on.

— The Kobeissi Letter (@KobeissiLetter) July 9, 2025

Starting August 1, tariffs are set to crush global trade. Trump’s rationale? Defending American manufacturing. But if countries retaliate, don’t worry—he’ll just turn the dial up even higher. So much for diplomacy. 🤷‍♂️📉

Bitcoin: The Unexpected Hero

And while the financial world is in a whirlwind of uncertainty, Bitcoin continues to be the ultimate plot twist, rising to new heights. Bitcoin surged to a fresh peak of $112,014, showing that the crypto market remains an unlikely fortress against traditional market turbulence. 📊💪

Analysts have noted a Coinbase Premium Gap of 42 points, indicating that US buyers are paying a hefty premium compared to other exchanges. In other words, institutional demand in the US is thriving, despite Trump’s tariff drama. 🍩💵

Bitcoin Price Chart | Source: burakkesmeci

Just last week, the Coinbase premium hit $87.76, showing that even at these sky-high prices, US investors aren’t flinching. With traditional markets preparing for a bumpy ride, crypto seems to be the safe bet. Who would’ve thought? 🤔🚀

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2025-07-10 18:40