U.S. stocks saw mixed action on Friday, while the U.S. dollar slipped to multiyear lows amid the uncertainty surrounding President Donald Trump’s trade war with China. Speaking with CNBC on Friday, Blackrock boss Larry Fink stated that the U.S. economy is at least very close to, “if not in, a recession right now.”
Amid US-China Trade War Unrest, Blackrock CEO Predicts Recession Risk
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Recession Risk Looms, Blackrock Boss Says
The DYX Dollar Index dipped to a three-year low relative to a basket of fiat currencies, recording 99.314 during early trading hours. At press time, the index rests at 99.827. On Fri morning, the Nasdaq composite, Dow Jones, and S&P 500 incurred slight losses, while bitcoin ( BTC) held just below the $82,000 threshold. Gold, in contrast, continues its impressive climb, appreciating 1.75% today and 6.64% over the past five days, and is trading at $3,231 per ounce.
During an interview on CNBC’s “Squawk on the Street” with Blackrock’s CEO Larry Fink, the head of the financial titan expressed a pessimistic view of the U.S. economy. Fink conceded that U.S. President Donald Trump halted some of reciprocal tariffs for 90 days, excluding China, but anticipates a contraction in growth during that interval.
“I think you’re going to see, across the board, just a slowdown until there’s more certainty. And we now have a 90-day on the reciprocal tariffs — that means longer, more elevated uncertainty,” Fink detailed during his “Squawk on the Street” discussion with CNBC hosts. The financial mogul’s statements followed Blackrock’s Q1 2025 earnings release.
Fink added during his CNBC interview:
I think we’re very close, if not in, a recession now.
Over the past few days, the U.S.-China trade conflict has intensified markedly, with both nations levying steep tariffs on each other’s goods. As of April 11, 2025, President Trump has increased tariffs on Chinese imports to a minimum of 145%, targeting sectors such as steel, aluminum, agriculture, and energy. In retaliation, China raised tariffs on U.S. goods from 84% to 125%, effective Apr 12, while also enacting export restrictions on rare earth materials and lodging complaints with the World Trade Organization (WTO).
These measures have amplified concerns about a global economic slowdown and significantly disrupted markets. In a recent broadcast, Chinese President Xi Jinping maintained that “there are no winners in tariff wars, going against the world will only lead to self-isolation.”
