Trump’s TrendMacro Cabinet

Trump is acting like a man with a mandate, rapidly putting together his cabinet and executive team. Unlike 2016 when he didn’t have many political relationships, Trump can now choose people who will be loyal to him —as most presidents do. Many are from the private sector. Some are mainstream politicians, such as Rubio. Others are controversial men of ideas like Kennedy, Makary and Ramaswamy, all of whom have engaged with TrendMacro clients in Zoom calls. Kudlow and Warsh were up for Treasury, but Bessent was selected. DOGE, headed by Musk and Ramaswamy, is the most important Trump initiative. It is not about saving money, or making government efficient, per se. It is a vast deregulatory effort with the potential to liberate the economy from a deadweight loss, effectively a pro-growth tax cut. Our call for outperformance by small-cap stocks and banks is already in the money.