Investor and hedge fund manager Spencer Hakimian is sounding the alarm on the state of the U.S. economy under President Donald Trump’s second term in office.
‘Barely Hanging On By A String’
On Thursday, in a post on X, Hakimian said that six months into “Trump 2.0,” the U.S. economy “is barely hanging on by a string,” with any growth that the country is currently seeing coming primarily from “massive government spending,” which is growing by over 10% year-over-year, alongside “unchecked big tech expansion.”
“The entire economy is Washington DC and San Francisco,” he says, highlighting the fact that most other regions and sectors are currently under stress. “On the irony.”
In a follow-up post on X, Hakimian highlighted what he sees as growing weakness in the labor market, warning workers not to take their positions for granted. “You don't realize how weak the economy is right now,” he said, while sharing a Bloomberg report on the topic.
He wrote, “If you have a job, hold on to it for dear life,” warning that if they get fired or quit, “it's going to take you years to find another one.”
‘Quits Rate’ Approaches Decade Low
According to data collected by Eagle Hill Consulting, more workers are remaining in their current jobs, with the market opportunity indicator dropping 4.4 points, and the retention index up to 102.9.
This trend is referred to as “Job Hugging,” by consulting firm Korn Ferry, which means people will try and hold on to their jobs. “There’s quite a bit of uncertainty in the world — economic, political, global — and I think uncertainty causes people to naturally [remain in a holding pattern],” Korn Ferry’s Senior Client Partner Matt Bohn said.
On Thursday, the ADP National Employment Report added to the gloomy outlook, with just 54,000 new jobs created in August, down sharply from 106,000 in July, and below economist estimates at 65,000.
Photo Courtesy: Hryshchyshen Serhii on Shutterstock.com
Read More:
