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There is a period of transition because what were doing is very big, he said in the interview.
So what should you brace for as a consumer to prepare for a possible disturbance?
Also seehow tariffs could impact the housing market.
Inflation
Companies that import goods dont just eat the cost when governments slap tariffs on their imports.
They typically pass those costs on to consumers in the form of higher prices.
She added that many smaller items may hit Americans budgets even harder because we buy them more often.
Its why people call inflation the silent killer of savings.
Shipping Delays
Trade wars dont just cause prices to spike.
They also disrupt supply chains and shipments, according to Gates Little ofThe Southern Bank Company.
Surges in ordering before tariff hikes take effect can lead to traffic congestion, which slows delivery speed.
Businesses pass that additional cost on to the consumer, leading to higher prices, Little said.
Some may choose to discontinue affected products altogether, especially if they are unable to source the goods domestically.
For example, the Trump administration has threatened 200% tariffs on European wines, per theAssociated Press.
Maybe not enough of a market to justify the hassle and cost of importing them.
They arent the only ones, either.
Deutsche Bank now forecasts a roughly 50% chance of recession this year,Business Insiderreported.
Tighter Credit Markets
Borrowing money could also become more difficult and expensive.
Nor is recession risk the only reason banks may pull in their purse strings.
The landscape has started shifting quickly.
A stronger web connection and net worth will both serve you well in times of uncertainty.
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