Ken Griffin, the founder of Citadel, recently spoke at the Forbes Iconoclast Summit. His remarks on everything from tariffs to U.S. debt offer a rare glimpse into the mind of one of finance’s most influential figures.
On the Trump administration’s tariff policies, Griffin was direct: “The administration’s attempts to use tariffs comes at a dear price to the US economy and comes at a dear price to the US consumer, who will undoubtedly face higher prices in their day to day life.” He followed with a stark assessment of the impact: “Our best estimates for growth this year are about half of what they were when Trump became president. So the tariff policies have really, really taken their toll already on our economy.
The U.S. debt crisis? Griffin said: “The United States’ fiscal house is not in order. You cannot run deficits of 6 or 7% at full employment after years of growth. That’s just fiscally irresponsible.” He highlighted the bond market’s troubling shift: “I saw this chart yesterday of the relative CDS spreads of European countries, of the United States. And I never thought in my life I would see us priced higher in risk costs than a number of countries like Spain or Germany or France.”
Griffin’s frustration with Washington was palpable: “The key is Washington does need to put our fiscal house in order. They do need to make that happen.” He tied the dollar’s reserve status to everyday prosperity: “The sanctity of the dollar as the reserve currency of the world… means lower prices for mortgages. That means a house is more affordable for the American people.”
On China, Griffin urged diplomacy over confrontation: “If a country tried to bully America, how would we respond? And the Chinese are rightfully proud people and they don’t want to be bullied.” He acknowledged China’s unfair trade practices but stressed: “The best way to negotiate with China is from a matter of first principles and in a way that shows mutual respect between our two great nations.”
Amid the gloom, Griffin found optimism in American ingenuity: “Did you watch the [SpaceX] booster be captured by the Pinscher on the way down? Can you imagine that we are actually able to launch a rocket and capture it between two prongs? I mean, what an unbelievable technological accomplishment.”
His final plea? “My one call would be to the White House to make sure that all 17 countries, that the people who come here feel welcomed in America.”
You can watch the entire interview here:
Ken Griffin Slams Trump’s Tax Bill, Tariffs And The $36 Trillion Debt Crisis
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