05/27/25 Afternoon CommStock Report – Tariffs are Trump’s ‘Trump’ Card

The version of the “Big Beautiful Budget Bill” enacted by the House will encounter more modification by conservative Senators before it becomes law.  I have no confidence that they could pass one that would fiscally correct the unsustainable debt trajectory of the US. Given his support of the House bill, president Trump doesn’t even intend to try. He thinks that he has an ace in the hole however that he is playing that will suffice as a solution to the problem……tariffs. He has alluded to the hundreds and hundreds of $billions in tariff revenue that he intends to collect from the world that will supplement US tax revenue enough to flatten the trajectory of our rising debt. That is his ‘trump card’. That is how he intends to solve our budget crisis. The plan appears to be to allow Americans to live beyond the means produced by our GDP while shaking down the rest of the world for tariff revenue to sustain it all.   I have not seen any credible evidence that this is going to work but it is the “Hail Mary” pass being thrown and we are going to find out. He has put the ball up…