President Donald Trump sent shockwaves through the financial world, warning that a “disturbance” is on the horizon. With markets already on edge due to trade wars, tariffs, and economic uncertainty, many Americans are wondering: What does this mean for their wallets?
Trump acknowledged that his economic policies might cause turbulence, saying, “There is a period of transition because what we’re doing is very big.” While some see this as a necessary shift, others are bracing for potential financial fallout. Here are five major ways this looming ‘disturbance’ could impact your money—and what you can do about it.
1. Prices Could Skyrocket Due to Inflation
Tariffs don’t just hurt businesses—they trickle down to consumers. When companies pay more to import goods, they often pass those costs along. Personal finance expert Melanie Musson warns that “big-budget items like cars and home renovation supplies will be hit with tariffs, resulting in instantly higher prices.”
But it’s not just large purchases at risk. Everyday essentials, from electronics to groceries, may also see price hikes, making it more expensive just to maintain your current lifestyle. Inflation erodes purchasing power, meaning your savings may not stretch as far as they once did.
2. Shipping Delays Could Disrupt Supply Chains
Trade wars don’t just make products more expensive—they also slow them down. Gates Little, CEO of The Southern Bank Company, explains that “surges in ordering before tariff hikes take effect can lead to traffic congestion, which slows delivery speed.”
Additionally, shortages in raw materials can delay production times, making it harder for businesses to keep up with consumer demand. Expect longer wait times for products ranging from appliances to holiday gifts.
3. Some Products May Disappear from Shelves
Some businesses may decide that importing certain products is no longer worth the cost. If tariffs drive prices too high, companies may simply stop selling specific items altogether.
For example, the Trump administration has floated the idea of a 200% tariff on European wines. That $30 bottle of Bordeaux? It could jump to $100—or disappear from U.S. shelves entirely. If prices continue to surge, consumers may need to find alternatives for their favorite products.
4. Recession Fears Are Growing
Economic analysts are increasingly sounding the alarm about a potential recession. A recent CNBC Fed Survey showed that the likelihood of a downturn jumped from 23% in January to 36% just two months later. Some experts, like those at Deutsche Bank, put the odds at an even more alarming 50%.
A recession could bring job losses, business closures, and financial instability. If companies cut back on hiring or start layoffs, American households could feel the pressure in a big way.
5. Borrowing Money May Get Harder
As recession risks rise, banks tend to tighten their lending standards. This means it could become more difficult—and more expensive—to secure loans for a home, car, or business.
Real estate expert Sara Levy-Lambert warns that “changes in interest rates and employment patterns” could make it tougher to borrow money. If you’re planning a big financial move, securing financing sooner rather than later may be a smart strategy.
How to Prepare for the ‘Disturbance’
The financial landscape is shifting quickly, and uncertainty is growing. While no one knows exactly how this economic shake-up will unfold, one thing is clear: being proactive is your best defense. Consider cutting unnecessary expenses, boosting your emergency savings, and staying informed about market trends. In times of instability, financial preparedness can make all the difference.
