BILLIONAIRE INVESTOR WOULD NOT BE SURPRISED IF TRUMP POSTPONES TARIFFS

Last updated: June 19, 2025, 23:25 | Written by: Naval Ravikant

Imagine waking up to the news that a major economic threat has been averted, at least for the time being. The overall tariff rate is somewhere between percent now, according to various estimates, and Trump s tariffs are expected to pull in about $2.5 trillion in federal revenues.That’s the scenario crypto-friendly billionaire investor Bill Ackman envisions regarding the potential postponement of tariffs that had been looming over the global economy. Crypto-friendly billionaire investor Bill Ackman is considering the possibility that US President Donald Trump may pause the implementation of his controversial proposed tariffs on April 7.'OneAckman, known for his strategic investments and market insights, believes former President Donald Trump might just hit the pause button on the controversial tariffs initially slated for April 7th.This prediction isn't coming from a vacuum. Crypto-friendly billionaire investor Bill Ackman is considering the possibility that US President Donald Trump may pause the implementation of his controversial proposed tariffs on April 7. One would have to imagine that President Donald Trump's phone has been ringing off the hook. The practical reality is that there is insufficient time for him to make deals before the tariffs are scheduledIt's fueled by a confluence of factors, including mounting pressure from fellow billionaire backers, the sheer impracticality of implementing such sweeping measures in the given timeframe, and the palpable fear of recession gripping financial markets. I would therefore not be surprised to wake up Monday with an announcement from the President that he was postponing the implementation of the tariffs to give him time to make deals.The S&P 500's recent volatility, driven by rumors of a potential tariff delay, underscores the market's sensitivity to these developments.But what exactly is driving this anticipation?What are the potential economic implications of a postponement? Hedge fund honcho Bill Ackman joined a growing list of President Donald Trump's billionaire backers calling for the White House to slam the brakes on tariffs just hours before Trump authorized a 90-day pause on reciprocal tariffs for most countries that went into effect Wednesday morning.And how might this affect your investment portfolio? Crypto-friendly billionaire investor Bill Ackman is considering the possibility that US President Donald Trump may pause the implementation of his Billionaire investor would 'not be surprised' if Trump postpones tariffsLet's dive deep into Ackman's prediction and explore the multifaceted world of tariffs, trade, and their impact on the global economy.

Ackman's Prediction: A Reprieve from Tariffs?

Bill Ackman's prediction stems from several key observations. The S P 500 is gyrating wildly amid on a rumor that President Donald Trump might hit the pause button before the escalation of reciprocal tariffs takes effect at a.m. ET on Wednesday.Firstly, he recognizes the immense pressure Trump likely faces from various stakeholders urging him to reconsider the tariffs.These stakeholders include other prominent billionaire investors who are deeply concerned about the potential economic fallout.Secondly, Ackman acknowledges the logistical challenges of implementing such widespread tariffs within the proposed timeframe.The complexity of negotiating trade deals and ensuring compliance across various sectors simply doesn't allow for a quick, effective rollout. Crypto-friendly billionaire investor Bill Ackman is considering the possibility that US President Donald Trump may pause the implementation of his controversial proposed tariffs on April 7. One would have to imagine that President Donald Trump s phone has been ringing off the hook.Finally, and perhaps most importantly, Ackman understands the profound fear of recession that is permeating financial markets. Crypto-friendly billionaire investor Bill Ackman is considering the possibility that US President Donald Trump may pause the implementation of his.The mere threat of these tariffs has sent shockwaves through the S&P 500, highlighting the fragility of investor confidence.

The Rationale Behind Ackman's Assessment

Ackman's assessment isn't just wishful thinking.It’s a calculated prediction based on a deep understanding of market dynamics and political realities.Here's a closer look at the factors influencing his perspective:

Pressure from Billionaire Backers: Many of Trump's long-time supporters in the billionaire community have voiced their concerns about the tariffs, urging him to reconsider. Crypto-friendly billionaire investor Bill Ackman is considering the possibility that US President Donald Trump may pause the implementation of his controversial proposed tariffs on April 7.Their influence shouldn’t be underestimated.
Logistical Infeasibility: Implementing complex tariffs requires significant negotiation, planning, and infrastructure. Crypto-friendly billionaire investor Bill Ackman is considering the possibility that US President Donald Trump may pause or push back the implementation of his controversial proposed tariffs on April 7. One would have to imagine that President Donald Trump's phone has been ringing off the hook. The practical reality is that there is insufficient time for him to make deals before the tariffsThe timeframe was simply too short to effectively execute such sweeping changes.
Recession Fears: The mere mention of tariffs triggers anxieties about economic slowdown and potential recession, impacting investor sentiment and market stability.
Negotiation Opportunity: A postponement allows for further negotiations and potential deals, potentially achieving desired outcomes without the negative economic consequences of tariffs.

The Economic Impact of Tariffs: A Double-Edged Sword

Tariffs, at their core, are taxes imposed on imported goods.They are designed to protect domestic industries by making imported products more expensive, theoretically encouraging consumers to buy locally produced goods. Bill Ackman anticipates that President Trump may postpone the implementation of tariffs, scheduled for April 9, to provide more negotiation time. This step aims to minimize potential economic harm, as investors worry about recession risks.However, the reality is often far more complex.

Potential Benefits of Tariffs (in theory)

Protection of Domestic Industries: Tariffs can shield domestic businesses from foreign competition, allowing them to grow and thrive.
Increased Domestic Production: Higher prices for imported goods can incentivize domestic companies to increase production, creating jobs.
Revenue Generation: Tariffs generate revenue for the government, which can be used to fund public services or reduce the national debt. Billionaire investor would not be surprised if Trump postpones tariffs Ap SCG Partners with Solana Community to Launch a New GameFi Project, Ushering in a New Era of Play-to-Earn for AllThe expected revenue from these tariffs was estimated to be around $2.5 trillion.

The Downside of Tariffs: Real-World Consequences

While the theoretical benefits of tariffs are appealing, the practical consequences are often negative and far-reaching.

Higher Prices for Consumers: Tariffs increase the cost of imported goods, which ultimately translates to higher prices for consumers.This reduces purchasing power and can lead to decreased demand.
Retaliatory Tariffs: Imposing tariffs can provoke retaliatory measures from other countries, leading to a trade war where everyone loses.
Supply Chain Disruptions: Tariffs can disrupt global supply chains, making it more difficult for businesses to access the materials they need to produce goods.
Reduced Economic Growth: The combination of higher prices, trade wars, and supply chain disruptions can significantly slow down economic growth.

For example, if tariffs are imposed on imported steel, domestic steel producers might benefit. Billionaire hedge fund manager Bill Ackman is predicting that President Donald Trump will renege on his threats of tariffs on importers, reversing much of the fear rattling financial markets.However, businesses that rely on steel, such as car manufacturers, will face higher costs, which they may pass on to consumers in the form of higher car prices. BTCUSD Bitcoin Billionaire investor would 'not be surprised' if Trump postpones tariffs Crypto-friendly billionaire investor Bill Ackman is considering the possibility that US President Donald Trump may pause the implementation of his controversial proposed tariffs on April 7.'One wouldThis, in turn, could reduce car sales and harm the overall automotive industry.

Why a Postponement Could Be a Smart Move

Given the potential negative consequences of tariffs, a postponement could be a prudent decision. Crypto-friendly billionaire financier Costs Ackman is thinking about the possibility that United States President Donald Trump might stop briefly the execution of his questionable suggested tariffs on April 7. One would need to think of that President Donald Trump s phone has actually been sounding off the hook.Here's why:

Opportunity for Negotiation: A postponement provides more time for negotiations with trading partners, potentially leading to mutually beneficial agreements that avoid the need for tariffs altogether.
Assessment of Economic Impact: A delay allows for a more thorough assessment of the potential economic impact of the tariffs, enabling policymakers to make more informed decisions.
Mitigation of Market Volatility: Postponing the tariffs can help stabilize financial markets by reducing uncertainty and alleviating investor anxieties.
Avoidance of Trade Wars: Delaying the implementation of tariffs reduces the risk of escalating trade tensions and potentially triggering a full-blown trade war.

The Impact on the S&P 500

The S&P 500's reaction to the rumors of a potential tariff delay highlights the market's sensitivity to trade-related news.A postponement would likely be viewed positively by investors, leading to a potential rally in the stock market.Conversely, if the tariffs are implemented as planned, the market could experience a significant downturn.

What Does This Mean for Investors?

The possibility of a tariff postponement creates both opportunities and risks for investors.Here are some key considerations:

Monitor Trade Negotiations: Stay informed about the progress of trade negotiations between the US and its trading partners.Any signs of progress could signal a potential postponement, while stalled negotiations could indicate that the tariffs are likely to be implemented.
Diversify Your Portfolio: Diversification is always a good strategy, but it's particularly important in times of uncertainty.Spreading your investments across different asset classes and geographic regions can help mitigate the impact of any potential market downturn.
Consider Defensive Stocks: In periods of economic uncertainty, defensive stocks, such as those in the consumer staples and healthcare sectors, tend to perform relatively well.These companies provide essential goods and services that people need regardless of the economic climate.
Prepare for Volatility: Be prepared for potential market volatility.The news surrounding tariffs and trade negotiations can cause sudden swings in the stock market.Avoid making rash decisions based on short-term market movements.

Actionable Advice for Investors

Here's some actionable advice for investors navigating this uncertain environment:

Review Your Portfolio: Assess your current investment portfolio to ensure it aligns with your risk tolerance and financial goals.
Consider Rebalancing: If necessary, rebalance your portfolio to maintain your desired asset allocation.
Stay Informed: Keep up-to-date on the latest developments in trade negotiations and economic indicators.
Consult a Financial Advisor: Seek professional advice from a qualified financial advisor who can help you make informed investment decisions.

The Role of Cryptocurrency in a Tariff-Affected World

Given Ackman’s status as a “crypto-friendly” investor, it’s worth considering how cryptocurrency might factor into this scenario.Cryptocurrencies, particularly Bitcoin, are often seen as a hedge against economic uncertainty and inflation.In a world where tariffs are driving up prices and disrupting traditional financial systems, cryptocurrencies could become increasingly attractive as alternative stores of value.

Bitcoin as a Potential Safe Haven

Some investors view Bitcoin as a ""digital gold,"" a safe haven asset that can hold its value during times of economic turmoil.If tariffs lead to increased inflation and economic instability, demand for Bitcoin could increase, potentially driving up its price.

Challenges for Crypto Adoption

However, it's important to acknowledge that the cryptocurrency market is still relatively volatile and immature.Widespread adoption of cryptocurrency as a safe haven asset faces several challenges, including regulatory uncertainty, security concerns, and a lack of understanding among many investors.

Alternative Scenarios: What if Tariffs Proceed?

While Ackman anticipates a postponement, it's crucial to consider the alternative scenario: what if the tariffs are implemented as planned?In this case, the following outcomes are possible:

Increased Inflation: Tariffs will likely lead to higher prices for imported goods, contributing to inflation.
Slowed Economic Growth: The combination of higher prices and trade disruptions could slow down economic growth.
Supply Chain Issues: Businesses that rely on imported materials could face supply chain disruptions, making it difficult to produce goods.
Trade Wars: Other countries could retaliate with their own tariffs, leading to a full-blown trade war.

Preparing for the Worst-Case Scenario

If the tariffs are implemented, investors should take steps to protect their portfolios, such as:

Investing in Defensive Stocks: As mentioned earlier, defensive stocks tend to perform well during economic downturns.
Holding Cash: Increasing your cash position can provide a buffer against market volatility and allow you to take advantage of potential buying opportunities.
Diversifying Internationally: Investing in international markets can help reduce your exposure to the US economy.

The Broader Geopolitical Implications

The decision on whether or not to implement these tariffs has broader geopolitical implications.It affects relationships with key trading partners and influences the global economic landscape.

The Impact on International Relations

Imposing tariffs could strain relationships with countries like China, the European Union, and Canada.These countries are likely to retaliate, leading to a trade war that could harm the global economy.

The US's Role in the Global Economy

The US's trade policies have a significant impact on the global economy.A decision to impose tariffs could be seen as a shift away from free trade and towards protectionism, potentially undermining the international trading system.

The Clock is Ticking

As the initial deadline approaches, the pressure mounts on policymakers to make a decision.The financial markets are watching closely, and the global economy is hanging in the balance.Whether Trump ultimately decides to postpone the tariffs or proceed with their implementation remains to be seen, but one thing is clear: the outcome will have a significant impact on investors, businesses, and the global economy as a whole.

Conclusion: Key Takeaways

Bill Ackman's prediction that Trump might postpone the tariffs is based on a confluence of factors, including pressure from billionaire backers, logistical challenges, and fears of recession.The potential economic consequences of tariffs are significant, ranging from higher consumer prices to disrupted supply chains and trade wars.While a postponement could provide an opportunity for negotiation and a more thorough assessment of the economic impact, investors should be prepared for either scenario.Diversification, defensive stocks, and monitoring trade negotiations are key strategies for navigating this uncertain environment.Ultimately, the decision rests with policymakers, and the outcome will have far-reaching implications for the global economy.Now is the time to consult your financial advisor and ensure your portfolio is prepared for whatever the future holds.Are you ready to take action and safeguard your investments?