Donald Trump shares video claiming he’s ‘purposefully crashing the market

Speculation has increased that President Trump may be deliberately slowing the economy through tariff policies and market disruption in order to pressure the Federal Reserve into lowering interest rates, a strategy some economists liken to a “J-curve” reset. While Trump has publicly denied intentionally crashing the market, his social media activity and administration rhetoric have fueled debate about whether short-term economic pain is part of a broader plan for long-term gain.

• At first, many  This is a president who values the stock market’s opinion of him, who is an entrepreneur himself, and who campaigned on promises of a prosperous economy for Americans
• However, as stocks continue to nosedive and President Trump 'with that fact, analysts are beginning to wonder if the “hard reset” theory has some truth to it.
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• President Trump has even hinted at the notion himself. Over the weekend, Trump reposted a video on his social media platform Truth Social titled “Trump is purposefully CRASHING the market” without adding any further comment.

The video, first posted on Elon Musk’s platform X, claims Trump is trying to engineer a cash push into Treasuries, which could result in the Fed feeling pressure to slash interest rates as the economy slows.

Data does support the video’s theory to some extent. Namely, Treasury yields (interest on the Treasury) have collapsed as prices have risen, prompted by rising demand.

Moreover, Trump has made no attempt to hide the fact that he wants interest rates to come down; in fact, he even said Fed Chairman Jerome Powell’s job was on the line if he didn’t do so.

It’s worth noting that the Oval Office  and Powell and the Federal Open Market Committee (FOMC) are federally mandated to act independently of the government.

Investors question the existence of a Trump master plan

Some analysts are beginning to warm to the idea that President Trump might be trying to orchestrate a slowdown of the economy to rebuild it with lower interest rates and inflation.

This is what some  a period of short-term slowdown that leads to a massive takeoff.

“I don’t think the administration is aiming for a bear market or a sharp economic recession,” Kevin Ford, FX and macro strategist at Conversa, told Fortune last week.

“But if deflating financial asset bubbles is the price to pay, it seems like they’re willing to take the heat. Their rhetoric feels unified. Trump, Lonick, Besant: They’re all aligned on the message of short-term pain.