Trump’s Recession Gambit: Why Economic Chaos Might Be the Play

Markets brace as whispers of a calculated downturn gain traction—because nothing juices political capital like a good old-fashioned crisis.

Wall Street’s worst-kept secret? A recession could be the ultimate reset button for legacy players—and a golden parachute for those positioned to profit from the rubble.

Here’s the cynical calculus: economic turmoil forces rate cuts, weakens the dollar, and lets debtors off the hook. Meanwhile, the 1% gets first dibs on fire-sale assets—because when has disaster capitalism ever missed an opportunity?

Does Trump Want a Recession?

Recession is always described as a temporary economic decline, a period of low productivity, as trade and economic activities are reduced during the time. The US’s tariff regimens have posed risks of uncertainty for the domain. A slight increase in inflation metrics alongside a spike in unemployment is also posing a threat to the US economy. However, JP Morgan has earlier quelled such fears, adding how the chances of us entering into a recession are below 50% now, citing the de-escalation of tariff orders as the main factor driving the change.

However, per the latest analysis by The Kobeissi Letter, on the contrary, a recession WOULD ultimately end up solving the majority of Trump’s economic hurdles.

The portal took to X to share a detailed report, adding how a recession is capable of solving the US economic deficits, helping Trump achieve all his economic goals at once.

In a way, President Trump may actually "want" a recession.

A recession achieves MOST of Trump’s economic goals at once:

1. Lower US inflation
2. Lower treasury yields
3. Lower trade deficit (through tariffs)
4. Fed interest rate cuts
5. Lower oil prices

After the recent surge… https://t.co/GUptlBM6si

A recession would help Trump achieve all his Core desires at once. For instance, Trump has criticized higher costs and rising prices. A recession would help lower the prices, closing the gaps on the go.

A recession would also help the US in lowering treasury yields, balancing the US economy’s borrowing habits by making them cheaper and more accessible.

JP Morgan Predicts Stagflation Risk For The US

JP Morgan and Chase Chief Jamie Dimon has issued a stark stagflation warning for the US. In his recent interview with Bloomberg, Dimon shared how the US is at risk of stagflation as the nation battles risks from changing geopolitical narratives and price pressures.

Dimon shared.

Trump’s tariffs have spurred a global chain reaction, restricting companies from expanding their dominions and halting mergers to protect their stake. This development is sparking concerns regarding trade, inflation, and unemployment, which could lead the US towards stagflation.

Dimon said.

He further shared how the world is also exploring reduced investment in the US dollar-centric assets.

Dimon said.