r/stocks 3d ago

Rule 3: Low Effort Is it possible that Trump’s tariffs are a massive pump and dump scheme?

EDIT: I’m not an investor, just asking a question.

Trump controls the SEC and DOJ, so who’s going to investigate or stop him?

Is it possible that Trump, his family, and billionaire buddies are benefiting from Trump’s tariffs?

Trump could be letting them know the date and time that he’s going to make the announcement to impose tariffs. Like many investors, they pull their investments but, they have a head start due to their insider knowledge.

Then he lets those on the inside know that he’s going to rescind tariffs and the date and time which he will be announcing that.

They buy the dip and profit as the market rebounds.

Rinse and repeat.

4.8k Upvotes

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u/StankGangsta2 3d ago

No he is just stupid, that being said this will enable a lot of pump and dumps and the DOJ will not prosecute.

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u/Dmoan 3d ago

Exactly he expected other countries to quickly come to the table and negotiate but he didn’t realize the world didn’t rely as much on US as he thinks. Europe can simply cut a better trade deal with India and China and make up for any lost revenue for example.

And even worse this could serve as trigger to push US big tech, products  and brands out, we already seeing that in Canada.

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u/JustInChina50 3d ago

They're mostly affecting US businesses, right? China and Europe and South America and Africa and Australasia and Asia can still trade with no new tariffs.

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u/Dmoan 3d ago

Yes exactly and they can tariff the hell out of US products (and software services) and strike better trade deals with each other

I would keep a close eye on India, China, Japan and Korea trade talks if they come together and negotiate a free trade agreement that alone offsets any US tariff impact for them

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u/hjy23k 2d ago

Imagine China does a “NAFTA” with Canada and Mexico lmao

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u/Dmoan 2d ago

That is a possibility now

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u/hjy23k 2d ago

China: does nothing and win

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u/amplaylife 2d ago

I remember growing up and being told I should learn Chinese as a second language...

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u/Swedishiron 2d ago

I think his actions are more nefarious than that - keep in mind who he looks up to and praises.

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u/amplaylife 2d ago

This. What rarity do we offer that anyone in the world cannot get from other countries? Other countries are going to be absolutely fine shifting their strategy excluding the US sadly. The rest of the world is going to happily move on without us. And when the orange man decides to take it back, the new trade relationships will be established. What leverage would we have at that point?

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u/execilue 3d ago

It’s not stupidity. Look up the mar-a-lago accords. It’s all according to a plan he is following.

It’ll be horrible for the average American. But he is following a plan.

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u/StankGangsta2 3d ago

Mar-a-logo accords are more of a pipe dream of devalue the dollar the increase manufacturing employment I can't really see how you get a pump and dump from them.

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u/CashComprehensive423 3d ago

Because with a 4% unemployment rate creating lower paying jobs is what the US needs. /s

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u/goat__botherer 2d ago

Jobs? Bringing back manufacturing into the age of automation, robots and AI won't be creating jobs. The stupidity you think MAGA are showing isn't the true bottom of the pit.

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u/United-Bluejay-1133 2d ago

It’s been interesting to me lately that all the bragging has been about how many trillions are getting invested back in the US, but no numbers of how many jobs they will create. Only one I heard was Apple’s $500B investment would create 20k new jobs, and if half a trillion dollars only creates 20k new jobs….strap the fuck in, folks.

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u/srg0pdrs4 2d ago

Thank you. this!

When they talk about bringing back manufacturing....is the rust belt looking for $3/hour jobs making tshirts for SheIn? Not saying it's fine for Vietnamese to accept the wages they do...but it's reality ... So any manufacturing jobs in the US will most likely be automated jobs that don't translate to higher wages or even livable wages for Americans... Especially not when everything coming in will be at the very least 10% - 54% more expensive...there is absolutely ZERO chance they can reconfigure global trade dependency in 4 to even 12 years of a potential /likely Trump dictatorship...not without wiping out massive amounts of Americans...or prison labor...starting with "criminals" illegally on US soil...

Also check out this crazy person and it starts to make a little more sense: Curtis Yarvine. I wish it weren't real, but here we are.

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u/execilue 3d ago

I never said it was a well thought out plan. But it is by definition a plan, and he is following it closely. It’s just a really bad fucking plan.

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u/Rogue-Juan 3d ago

Concept of a plan

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u/BagelsRTheHoleTruth 2d ago

That plan also explicitly calls for working closely with allies and rolling out the tariffs in an orderly and gradual fashion.

He has completely fucked the duck on that. He's implementing the plan in what the plan itself acknowledges is the stupidest way possible.

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u/KingSweden24 2d ago

Exactly. Miran’s plan would be difficult to finesse in the best circumstances but at least is a semi-defensible theory rather than whatever the hell this is

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u/fluorescent_hippo 2d ago

Why is it a bad plan?

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u/Dmoan 3d ago

My friends company which manufactures auto parts is struggling to fill openings and they are looking at more automation..

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u/mzinz 2d ago

He is not really following the plan. Listen to Plain English podcast about Trump Global order. It convinced me that the accord is not actually his goal

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u/kattahn 2d ago

I mean...a plan can be stupid? This is a stupid person following a stupid plan.

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u/Mk4pi 3d ago

Yep 1 part of the plan is “encourage” countries to buy long term treasury bonds. Looking from the bond rate today look like it s working according to plan.

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u/SB_90s 3d ago edited 3d ago

But undoubtedly he and his family/friends/close colleagues sold out of the stock market fully before doing all this shit. There's no way they didn't expect this to tank the stock market and all he cares about is money and power. He's way too comfortable with this market crash so he obviously is not losing money in this market.

I also don't doubt that he and the same crowd will conveniently buy into the stock market just before he decides to end all this nonsense (if ever).

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u/TechnicianExtreme200 2d ago

Not only just stupid. That minimizes what is going on as if it's an oopsie that can be fixed. He is stupid AND dangerous.

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u/OMARM84 2d ago

What if he was so stupid that instead of pump and dump he is doing a dump and pump?

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u/LazySwanNerd 2d ago

Saying he is just stupid isn’t true. The plan is for the wealthy to buy everything back at bottom prices and close everyday people out of the market. Along with buying a bunch of land, resources, and companies after the recession happens.

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u/SoundOfRadar 3d ago

He is not the most intelligent or the most educated but he’s certainly not stupid and he’s very much into quick and easy profiteering - just look at his crypto currency.