Keeping modestly informed of relevant local and global news is one thing, but developing an entertainment dependence habit on financial news and global affairs is extremely detrimental to both your own mental health and financial well-being. Write an IPS if you don't have one and follow it to the letter no matter what you hear on the news
http://www.mrmoneymustache.com/2013/10/01/the-low-information-diet/
I hate acronyms. Luckily I hit IPS on the first try. Investment Policy Statement. So I read a description.
https://www.thebalance.com/how-to-write-an-investment-policy-statement-357210It seems like a good idea, but I was surprised to see the criticism in the description of index funds. The man in the article talks about the development of a portfolio to give you $5k / month to augment Social Security. People on this site have written time and again to use index funds since they are as good or better than using a financial advisor.
It seems most of the folks here think a big recession won't come for a couple of years. This eases my mind. I don't have an IPS, so I guess I'll ride this out.
I don't totally ignore the news, but I'm getting better at ignoring it. When talk comes of the economy, I look at the price of oil. It fell and there seems to be plenty so this seems to keep the economic machine humming. Besides, we've been finding all kinds of new oil on the North American continent. Brief bumps in supply and demand look like all we'll see unless there is another war.
OK - the tariff thing. I'm sort of a believer that we ought to keep people gainfully employed producing stuff here. The US is a big country, with lots of raw materials and has an educated free workforce. Mr. Trump has slapped quite a list of stuff to be tariffed:
https://ustr.gov/sites/default/files/enforcement/301Investigations/Tariff%20List_09.17.18.pdfI'll bet there are people ready, willing and able to fill the needs previously occupied by the Chinese. People have the choice to pay a little more for the import or to support someone here to supply the same or similar item. The money spent on said item stays here generating domestic jobs and further spurring demand. There will be an adjustment period, but when I see the vast amount of manufactured goods that used to be made here,.................lots of jobs to be reclaimed. Lots of needs to be filled domestically.
I was taught in macroeconomics class long ago that mutual trade between countries if conducted in a fair manner benefits both countries. Then I saw the closure of steel mills, automotive manufacturers, etc and the ripple effect to all the sub-suppliers. Entire cities never recovered. It wasn't good for them. The macroeconomic theory ignored the human cost.
I don't like Trump, but maybe his tariffs will actually be good for the economy after some adjustments.
People still have to eat. People still want to buy stuff. People are willing to work. I guess it won't be too bad a dip. (Knock on wood.)