Donald Trump slams Goldman Sachs, calls its predictions ‘wrong’ on tariffs

President Donald Trump on Tuesday took aim at Goldman Sachs CEO David Solomon in a Truth Social post, suggesting he should “focus on being a DJ” instead of running the bank.

Trump accused Solomon and Goldman Sachs of making incorrect predictions about the impact of tariffs on the U.S. economy and markets. Contrary to their warnings, Trump claimed the tariffs have strengthened the stock market, increased national wealth, and boosted Treasury revenues without triggering inflation. He added that the majority of the tariff costs have been absorbed by foreign governments and companies, not American consumers.

He praised the impact of tariffs on the country’s economy, calling the trillions of dollars collected “incredible” for the nation’s wealth, stock market, and overall financial health. Trump argued that the burden of tariffs has largely fallen on companies and foreign governments rather than consumers, challenging common narratives about who actually pays for these taxes. 

“Trillions of dollars are being taken in on tariffs, which has been incredible for our Country, its Stock Market, its General Wealth, and just about everything else. It has been proven, that even at this late stage, Tariffs have not caused Inflation, or any other problems for America, other than massive amounts of CASH pouring into our Treasury’s coffers… But David Solomon and Goldman Sachs refuse to give credit where credit is due. They made a bad prediction a long time ago on both the Market repercussion and the Tariffs themselves, and they were wrong,” Trump wrote on the Truth Social platform.

He emphasized that despite widespread concerns, tariffs have not caused inflation or other economic problems. Instead, they have resulted in massive cash inflows into the Treasury. Trump argued that the burden of tariffs has largely fallen on companies and foreign governments rather than consumers, challenging common narratives about who actually pays for these taxes. 

This sharp rebuke highlights ongoing tensions between the administration and financial institutions, reflecting broader debates over trade policies and their economic consequences. While some analysts point to tariffs as a cause of inflation and supply chain disruptions, Trump maintains that the policy has strengthened the country’s fiscal position and overall wealth. 

In May 2025, Goldman Sachs CEO David Solomon had voiced concerns regarding the negative impact of Trump tariffs on investment and economic growth. Speaking during an interview with Bloomberg TV, Solomon highlighted that the uncertainty generated by these policy actions has caused many CEOs to be “holding back on investment” and “tightening their belt”. He had said: “The policy actions to date have raised the level of uncertainty to a degree I do not think is healthy for investment and growth.” This sentiment underscores the growing apprehension among business leaders about the tariffs’ implications on the economic trajectory. The current climate of uncertainty is not conducive to fostering a robust investment environment, as businesses are hesitant to commit resources without clear policy direction. 

Solomon further emphasised the cautious stance of companies in light of the tariff policies. He noted, “And, as I’m talking to CEOs, as I’m talking to our clients, they are holding back on investment and they’re certainly tightening their belt.”

He added, “You’re going to see some companies laying off employees and running their businesses tighter because of this level of uncertainty.” Such measures reflect the broader economic hesitance triggered by the tariffs, which could potentially lead to reduced capital markets activity if the uncertainty persists. The ripple effects of these decisions could be felt across various sectors, potentially slowing down economic growth.