BlackRock CEO Says Tariff War Could Spur Broad Market Rout
- Market having ‘hard time digesting’ globalization, trade
- Investors pulled $22.4 billion from the firm’s equity products
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BlackRock Inc. Chief Executive Officer Larry Fink said that intensifying global trade tensions may spur a broad market downturn and a slowdown in the U.S. economy.
Stocks could drop 10 percent to 15 percent and U.S. gross domestic product would start slowing in 2019 if the Trump administration sees through its threat to levy tariffs on an additional $200 billion of Chinese imports, Fink said, adding that would elevate the current tensions to a full-blown trade war.