US Economy (GDP) is Burning

Tariffs, Stagnate Interest Rates & the Economic Decline

By The Coastal Journal | Strategy by Greg Crennan, Golden Coast Consultants

“Tomorrow the world will watch in horror as its greatest city destroys itself. The movement back to harmony will be unstoppable this time. – Ra’s al Ghul, Batman Begins

Bruce Wayne returned to Gotham to find it decaying under the weight of its own sins—corruption, greed, and a system rotting from the inside. In 2025, that metaphor no longer belongs to fiction. America’s economy has entered its Gotham moment. The house is burning, and those striking the match are not enemies foreign or unseen. They wear suits, lead by central banks and politicians, and preach the virtues of balance. But like Ra’s al Ghul, they see destruction not as tragedy—but as justice.

The latest GDP print (-0.3%) confirmed what Chief Market Strategist Greg Crennan has been forecasting in 2025, but few dared say aloud and many dismissed his call including people like CNBC guest, Ed Yardeni: but negative growth has arrived.

This isn’t a blip—it’s a symptom.

For over a year, the Federal Reserve has enforced interest rates at their highest levels since the early 2000s. But this isn’t about inflation anymore. This is systemic shock therapy. Pain, not prevention, is the goal. Consumer confidence has fallen for five consecutive months, plunging below the darkest days of the pandemic.

“When a forest grows too wild, a purging fire is inevitable and natural.”

The Federal Reserve’s belief that raising interest rates for an extended period is the solution to inflation has ignited a firestorm. Starbucks, once a symbol of consumer stability, has missed earnings for five consecutive quarters.

SuperMicro, the AI bubble company that we exposed in previous articles where many shorted the stock based on Golden Coast “Sell” rating, (which can be read about here: 1. SMCI stock will crash Feb 2025 2. SMCI Accounting tricks )

has slashed guidance as margins collapse and inventories pile up.

BP, a global oil giant, blamed falling profits on a “strategic reset,” but the numbers betray the spin. Demand is falling—everywhere.

Meanwhile, President Trump has promised tariffs on every country, beginning with a 145% tariff on Chinese goods. The consequences are already unfolding. U.S. soybean and pork exports to China have collapsed by double digits, pulling American farmers into the inferno. Supply chains strain under new costs. Goods sit idle. Money stops moving. Inflation eases—but only because growth is being smothered.

“We sacked Rome. We loaded trade ships with plague rats.”

The purpose wasn’t healing. It was disruption. In Ra’s al Ghul’s doctrine, destruction was the prerequisite to discipline. And the architects of today’s economy appear to agree. They don’t see these contractions as failures. They see them as necessary cure for inflation. Justice, in their view, is not served through reform—it’s served through ruin.

2025 Portfolio Strategy