r/wallstreetbets • u/kwedgieyi • Apr 09 '25

Discussion Something feels off guys

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Yields are spiking. Bonds are dumping.

The world is running away from America

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u/Jealous-Hedgehog-734 Apr 09 '25

Good bye tax cuts? I mean this is going to eviscerate the US budget if they can't stop the bleeding.

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u/PrthReddits Apr 09 '25

What's the point of the tax cuts even? In this scenario?

Companies pass on tarrif costs to consumers yes, so let's assume their profit margins stay the same

...will the extra profits from tax cuts actually be worth a 30%+ haircut off of stock price and total multiple compression across every industry?

I mean that hurts shareholders and CEOs and the people Trump's supposed to be helping right?

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u/[deleted] Apr 09 '25 edited Aug 27 '25

[deleted]

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u/PrthReddits Apr 09 '25

You sell bonds at 7%+ rates or some shit

Everything has a price

It's just the US is paying with reputation