President Donald Trump‘s reciprocal tariff announcement on April 2 shook financial markets as Wall Street and corporations braced for supply chain disruptions worldwide. Even as the market closes roughly even on Monday, some believe the worst is yet to come.
Larry Fink’s Thoughts: Larry Fink, the billionaire CEO and co-founder of BlackRock, said many CEOs believe the U.S. is currently in a recession, according to CNBC.
“Most CEOs I talk to would say we are probably in a recession right now,” Fink said at the Economic Club of New York on Monday. “One CEO specifically said the airline industry is a proverbial bird in a coal mine — canary in the coal mine — and I was told that the canary is sick already.”
The UCLA alum says that tariffs’ stagflationary nature could put the Federal Reserve in a tough position in deciding to cut interest rates. While markets are pricing in up to four rate cuts in 2025, Fink believes inflation as a result of tariffs could restrict Fed Chair Jerome Powell.
Leon Cooperman’s Thoughts: Investor Leon Cooperman, the CEO of Omega Advisors, believes financial markets could experience even worse times ahead.
“I think there’s too much confidence in the system … and we’re correcting that right now. It’s very clear to me the president has decided the best way to get inflation, interest rates down is to take a recession,” Cooperman said on CNBC Monday.
The New York native went on to say that he does not trust the current environment and is still accounting for significant levels of risk.
“What I’m looking for is companies to come out with disappointing statements,” Cooperman said. “Stocks trade down and close today, unchanged or up, and that tells me that the market has discounted the negative outcome.”
Also Read:
Photo: Shutterstock Professional via Shutterstock
Market News and Data brought to you by Benzinga APIs
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
