Feb 10, 2017

Trump as a risk to the global economy

Evan Vucci / AP

Ratings firm Fitch today warned that Trump's unpredictability is a danger to the global economy. The chief concerns:

[T]he possibility of disruptive changes to trade relations, diminished international capital flows, limits on migration that affect remittances and confrontational exchanges between policymakers that contribute to heightened or prolonged currency and other financial market volatility.

Fitch makes these warnings in the context of how it would impact government borrowing, but the consequences would be felt in the broad economy. It's not all bad though, Fitch says, citing Trump's plans to boost infrastructure spending, reduce regulations and cut taxes.

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