Musk's call for $2 trillion spending cut bad for markets: Chris Wood
Business Standard|November 15, 2024
Billionaire Tesla Chief Executive Officer (CEO) Elon Musk's ambitious plan of cutting at least $2 trillion of federal spending under incoming President Donald Trump's administration will boost the US dollar while hurting stock markets, Christopher Wood, global head of equity strategy at Jefferies, said on Thursday.
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Musk's call for $2 trillion spending cut bad for markets: Chris Wood

Musk has been appointed to co-head a new Department of Government Efficiency by Trump. The world's richest person and owner of social media site X said at a Trump rally at Madison Square Garden in October the federal budget could be reduced by "at least" $2 trillion.

According to official figures from the US Treasury, the US government spent $6.75 trillion in the financial year 2024 (from October 2023 to September 2024). In percentage terms, a $2 trillion cut, therefore, will shave off 32 per cent of the US government's annual spending.

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