Scott Bessent’s 3-3-3 plan will turn out more like 2-6-0

Published On Jan 16, 2025, 4:38 PM

Scott Bessent's ambitious economic plan, called the '3-3-3' plan, aims for an annual GDP growth of 3%, budget deficits at 3% of GDP, and an increase in domestic oil production by 3 million barrels per day. Analysts believe these targets are unrealistic, predicting GDP growth around 2%, budget deficits increasing to about 6%, and minimal changes in oil production. Concerns include a slowing population growth, high national debt, and a reluctance from oil producers to increase supply due to past profitability issues.

Stock Forecasts

SPY

Negative

Given the sentiment and analysis of the economic forecast, there seems to be a lack of confidence in achieving Bessent's targets, which may influence market perceptions negatively. The focus on budget deficits and growth suggests potential struggles for sectors reliant on economic expansion.

Related News

Stocks failed to continue Wednesday's rally as retail sales and fresh earnings from big banks took focus.

SPY
TSM
BAC
AAPL

The three major averages are on track for modest weekly gains.

JBHT
OZK
SPY
XLF

Donald Trump's pick for Treasury secretary repeatedly defended a range of tariff ideas during his confirmation hearing before Senate lawmakers Thursday.