- Elon Musk highlights Milton Friedman as three billionaires urge Trump to halt the Trade War
- Elon Musk emphasizes Milton Friedman as Wall Street tycoons push Trump for tariff reductions.
- JP Morgan CEO Jamie Dimon cautions that the tariffs could lead to a US recession in 2025.
- Billionaire investor Bill Ackman also voiced calls for a pause on the tariffs.
Tesla’s CEO and head of the Department of Government Efficiency, Elon Musk, has taken a stance against Trump’s tariffs by sharing a viral video of Milton Friedman on X. Meanwhile, other prominent billionaires from Wall Street have initiated media campaigns to prevent an impending trade war in the US.
Elon Musk cites Milton Friedman as markets decline over tariff concerns
Elon Musk has joined an expanding group of wealthy Americans urging President Donald Trump to reconsider his broad new tariffs. On Monday, Musk posted a 1970svideo clip featuring the esteemed economist Milton Friedman criticizing protectionism. This post amplifies the increasing pressure from the nation’s billionaires as markets continue to decline amid fears of a trade war.
Interestingly, Musk’s close business partner and investor Joe Lonsdale also shared his thoughts on X, indicating that he had recently alerted “friends in the administration” that the tariffs could negatively impact US companies more than their Chinese counterparts.
“I recently advised friends in the administration that tariffs would likely hurt American firms more than Chinese ones,” Lonsdale stated on X (formerly Twitter) on Tuesday.
These remarks come shortly after a report revealed that senior aides to Trump attempted to subtly intervene to ease tensions over the weekend. Nevertheless, the former president reaffirmed, during a Sunday night interview, that there would be “no chance” of backtracking—although new rumors about a possible negotiation window have surfaced following Musk’s viral post.
Jamie Dimon warns that Trump’s tariffs could initiate a US recession
JPMorgan Chase CEO Jamie Dimon issued a stark warning on Monday, suggesting that former President Trump’s assertive tariff policies could spur inflation and further weaken an already delicate US economy.
In his April 7annual shareholder letter, Dimon became the first significant Wall Street bank executive to directly oppose the tariff announcement made on April 2—a decision that triggered severe stock market declines, reminiscent of the crash experienced during the COVID-19 pandemic of 2020.
“We are likely to see inflationary pressures, affecting both imported goods and domestic prices, as input costs increase… While it’s uncertain whether the tariffs will cause a recession, they will certainly inhibit growth,” Dimon asserted.
At the time of reporting, Dimon held a net worth of $2.3 billion. Although he regularly comments on global economic risks, this year’s warning is particularly relevant given the current market volatility. The timing of his letter lends weight to the rising concerns from the financial elite.
Bill Ackman cautions tariffs could lead to an “economic nuclear winter”
In a lengthy post on X Sunday, billionaire hedge fund manager Bill Ackman,worth $8.8 billion, projected a bleak outlook for the US economy, cautioning that Trump’s extensive tariffs could undermine investor confidence and lead to an “economic nuclear winter.”
Ackman, founder of Pershing Square and a prominent Trump supporter since mid-2024, acknowledged that the global tariff landscape has historically disadvantaged the US. However, he criticized Trump’s approach as “enormous and disproportionate,” affecting both allies and adversaries alike.
“We are in the process of eroding confidence in our country as a trading partner, as a place for business, and as a market for investment,” Ackman warned.
His unusual public criticism reflects a shift in stance for the influential investor, resonating with Dimon’s concerns while adding urgency to the matter. Ackman urged the administration to impose a 90-day pause to renegotiate terms, warning that failure to do so would result in a halt in business investment, reduced consumer spending, and reputational damage to the U.S. that could take “decades to mend.”
Conclusion: Wall Street billionaires issue a “vote of no confidence”
From Musk’s reference to Friedman’s free-market principles to Ackman’s dire predictions and Dimon’s recession alert, Blackrock CEO Larry Fink has similarly warned of a potential 30% market decline.
As of Wednesday, the fallout from the tariffs has resulted in over $10 trillion lost from US stock markets within the initial week.
Top 5 US Stock Market Performance, April 9 | Source: CompaniesMarketCap
Trump has confirmed that 104% tariffs will be implemented on all Chinese imports starting April 9. Meanwhile, business leaders on Wall Street caution that, despite being framed as a strategy to address systemic trade imbalances, the aggressive tariffs could provoke the very economic instability the administration seeks to avoid.