Trump’s 2024 Victory: A New Chapter in America’s Domestic and Global Influence
What has happened since Donald Trump’s election victory?
The presidential race in 2024 ended in Donald Trump returning to the White House once again. This has started a very transformative period for both U.S. domestic and international affairs. And many of his policy moves are already taking hold economically, in the energy sector, the housing market, and international relations. As the country navigates these early days of the administration, here is what this administration has shaped up so far, according to current data and trends.
Economic Landscape:
The U.S. economy has been doing well during Trump’s term of office. Real GDP rose 3.1% in the third quarter of 2024, on the heels of a 3.0% gain in the second quarter. Unemployment has leveled off at 4.2%, very close to its natural rate, and inflation has cooled to 2.4%, closer to the Federal Reserve’s target of 2%. This resilience of the economy, amidst global uncertainties, is supported by strong performance in sectors like technology and consumer spending.
The Trump administration has credited this to his policies of tax cuts and deregulation that have spurred the business activity. Critics, though, say all these measures might prove counter-productive in the long run and bring in many problems, such as larger fiscal deficits.
Energy and Gas Prices:
Energy is one of the main focuses of Trump’s program. The administration tries to achieve energy independence and lower consumer costs by increasing domestic production of fossil fuels and slashing environmental regulations. While gas prices have stabilized in recent times, the global oil market continues to be unstable amid geopolitical tensions. According to analysts’ estimations, in the next year, oil prices will range from $65 to $79.9 per barrel.
Trump’s policies are not one-dimensional, with advocates touting the savings in energy costs, while critics raise concerns over the potential environmental impact. The approach of the administration reflects its policy of pursuing economic growth at all costs.
Housing Market Challenges:
The housing market faces ongoing challenges, particularly in affordability. High mortgage rates have slowed construction and impacted mortgage applications, raising concerns about a potential cooling in the housing sector. While consumer spending remains robust, addressing affordability and increasing housing supply are essential to stabilizing the market.
Trump’s administration has yet to unveil comprehensive housing policies, but the sector’s performance may necessitate targeted measures in the coming months.
Shifts in International Relations:
On the world stage, Trump’s administration has signaled a return to assertive diplomacy. The proposed appointment of Benjamin León Jr. as U.S. ambassador to Spain underscores the administration’s commitment to cementing ties with strategic allies.
Yet, issues like trade and defense remain tense at the same time. In fact, Trump is for “America First,” which translates to serving national interests-a tack that would strain alliances at the same time it emboldens adversaries. The Middle East remains a point of high interest, especially U.S.-Iranian relations and continued conflict in Ukraine.
Looking Ahead:
During the course of his second term, the nation will face a mixture of opportunities and challenges, from the very promising economic growth and reduced energy costs to the need for careful navigation in the housing market and global relations.
The policies of the administration will chart the future course of the country, which all stakeholders will be keenly watching for their long-term implications. The world watches as the U.S. adjusts to this new political chapter and how the leadership of Trump will redefine America’s role on the global stage.
Sources:
- Financial Times (FT)
https://www.ft.com/content/db14493f-ad54-4139-bf79-0c6d4db59d2f - U.S. Commerce Department
https://www.commerce.gov/data-and-reports/economic-indicators/dashboard - Barron’s
https://www.barrons.com/articles/richmond-fed-barkin-economy-9bca82e0 - The Times
https://www.thetimes.co.uk/article/donald-trump-elon-musk-sir-niall-ferguson-tl7tv3hlt
