Donald Trump's presidency is facing numerous challenges, but there's a big one looming that experts say will give him something in common with former president Jimmy Carter. CNBC reports that based on current market trends, it looks like Trump will be running for re-election during a recession. If it happens, he will be the first president to do so since Carter ran for his second term in 1980. Carter, a Democrat, lost that election to Ronald Reagan.
As CNBC notes, recent developments in the markets have triggered bleak predictions about the future of the American economy. Growth has contracted during the final quarter of 2018 and its expected to continue to do so in the new year. The bubble created by tax reform and increased spending is slowly starting to burst and some people expect that it will pop in 2020.
The United States is also still contending with the ongoing disruption caused by the U.S.-China tariff war. A strong dollar coupled with high corporate debt, diminished international growth and a sluggish housing market isn't helping matters either, said Diane Swonk, chief economist for Grant Thornton LLP, an auditing and tax advisory company.
"No one knows for sure which straw will break the camel's back, only that they are piling up," she added, as reported by CNBC.