Citadel CEO Ken Griffin Criticizes Trump's 'Nonsensical' Trade Policies at World Economy Summit
April 23, 2025
The trade war has generated mixed reactions among business leaders, with some optimistic about tariffs benefiting their industries, while others foresee negative consequences.
Griffin highlighted that institutional investors are increasingly viewing U.S. Treasury securities as less valuable, despite their traditional safety as a government-backed investment.
He urged Trump and other leaders to act thoughtfully to preserve and strengthen America's brand, emphasizing the importance of trust in U.S. Treasurys.
At the Semafor World Economy Summit in Washington on April 23, 2025, Ken Griffin, founder and CEO of Citadel, emphasized that the United States represents more than just a nation; it is a brand that embodies cultural, financial, and military strength.
Griffin cautioned that the current trade policies and tariff strategies are eroding this brand, warning that the damage could take a lifetime to repair.
He expressed concern that President Trump's trade policies could harm the reputation of U.S. Treasurys, which are critical for global financial stability.
As of April 2025, the U.S. dollar has fallen to a three-year low, raising fears of a potential recession and contributing to a shrinking economic environment.
Griffin noted that the U.S. has effectively become 20% poorer in a month compared to the euro, which could discourage investments in American manufacturing.
While acknowledging that Trump has identified real economic issues, Griffin criticized the effectiveness of his methods, arguing they are unlikely to revive American manufacturing.
A recent poll revealed that 60% of U.S. adults are highly concerned about rising grocery costs, with many also worried about expenses for major purchases.
Griffin warned that the recent volatility in the U.S. stock market, which has lost trillions in value, contradicts Trump's intentions with tariffs and could further harm the economy.
Griffin's comments come at a time when many economists are warning of a potential recession related to ongoing trade tensions, underscoring the urgency of addressing these issues.
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