There was a reason for President Donald Trump’s particularly scathing response when a reporter asked him Wednesday about a new term coined about the president’s tariffs: TACO, or Trump Always Chickens Out. He had not yet heard the term, according to a senior White House official who acknowledged to CNN that the president was caught off guard. Trump had said as much at the time, saying “I’ve never heard that” before calling it the “nastiest question.” “He thought the reporter was calling him a chicken,” the official said, adding that Trump was “reasonably” frustrated with the phrase. The acronym was coined in early May by a Financial Times columnist and is now used as shorthand by some on Wall Street to indicate that traders shouldn’t fret too much about Trump’s tariff threats, since he usually backs down. Trump also vented his frustrations to his team following the exchange, sources familiar with the matter said. He was not only irked by the term itself but also by his team’s failure to tell him about the phrase gaining traction. It’s a window into what may offend Trump the most: He took clear umbrage with the idea that people perceive his tariff adjustments as weakness. Trump’s real-time response also demonstrated his view that the shorthand diminished what he sees as an essential negotiating tactic on trade. He explained on Wednesday that sometimes he sets “a ridiculous high number” for tariff rates and then relents if other nations give in to his demands. “It clearly bothered him, primarily because it demonstrated a lack of understanding about how he actually utilizes those threats for leverage,” said one person familiar with the matter. “But obviously he’s not a guy who looks kindly on weakness, so the idea anyone would think that with respect to his actions isn’t received well.” Trump, in just the last week, has threatened 50% tariffs on the European Union, then extended the deadline in return for more concrete talks and has threatened to re-escalate his China trade war in an effort to secure compliance with last month’s agreement. Last month, he also imposed a 145% tariff on imported Chinese goods, before bringing that back down to 30% this month. The TACO acronym’s journey to the Oval Office is, in and of itself, a telling narrative about the current information environment. It originated with a May 2 column from Robert Armstrong, a Financial Times commentator and author of the publication’s popular finance newsletter “Unhedged.” Armstrong coined the phrase as a way of capturing Trump’s frequent willingness to walk back, pause or provide carve outs from his most expansive tariff threats. The idea, in short, is that Trump’s threats had created a pattern of driving stocks down, only to see them surge when he changed course weeks later. He used the term to try and explain the steady upward trajectory taking place in late April, which he wrote had “a lot to do with markets realizing that the U.S. administration does not have a very high tolerance for market and economic pressure, and will be quick to back off when tariffs cause pain. This is the TACO theory: Trump Always Chickens Out.” The acronym became something of a running joke on finance Twitter, the informative and generally good-humored corner of X where financial commentators and analysts debate the day’s most interesting, market moving or, at times, arcane topics. Within a few weeks, the TACO trade had become a fixture of Wall Street chatter and started appearing in client notes from financial analysts and economists. The rapid acceleration of the acronym’s role in finance lexicon caught Armstrong, who has been sharply critical of the economic merits of Trump’s tariffs, by surprise. “The mysteries of social media and media in general are still completely hidden to me,” Armstrong said on the FT’s “Unhedged” podcast. “The outcome I really, really hope does not happen is that this has anything to do with the president stopping his habitual chickening out,” Armstrong added. “Let us state clearly, chickening out is good and something to be celebrated. Bad policy chickening out — hooray.” Trump made it clear to the reporter on Wednesday that he preferred a different description. “You call that chickening out?” Trump asked. “It’s called negotiation.” Kylie Atwood contributed to this report.
Trump irritated that his team didn’t tell him about ‘TACO,’ sources say
TruthLens AI Suggested Headline:
"Trump Responds to 'TACO' Term, Expresses Frustration Over Lack of Team Communication"
CNN
6.9
TruthLens AI Summary
President Donald Trump expressed frustration after a reporter referenced the term 'TACO,' an acronym for 'Trump Always Chickens Out,' which he had not previously encountered. This term, coined by Financial Times columnist Robert Armstrong, reflects a perception among some traders that Trump often backs down from his tariff threats. During a press conference, Trump deemed the question about the term as 'nasty' and indicated that he felt it suggested a weakness in his negotiating strategy. Sources close to Trump disclosed that he was not only upset about the term's implications but also that his team had failed to inform him about its growing popularity, which he viewed as a significant oversight. The president's reaction highlights his sensitivity to being perceived as weak, particularly in the context of tariff negotiations, which he considers a vital aspect of his trade strategy. He explained that his approach often involves setting high tariffs as a negotiation tactic, only to lower them if he achieves favorable outcomes from other nations.
The TACO acronym's rise within financial discussions illustrates the evolving landscape of market sentiment and commentary. Initially introduced in a column discussing the unpredictability of Trump's tariff policies, the term quickly gained traction on social media and financial platforms, becoming a shorthand reference for investors and analysts. Armstrong's original commentary noted that Trump's frequent reversals on tariffs tended to stabilize markets after initial downturns caused by his aggressive threats. This pattern of behavior has led to a growing belief among market participants that Trump may not follow through on his most extreme tariff proposals. However, Trump firmly rejected the notion that his actions constituted 'chickening out,' framing them instead as strategic negotiations. The rapid spread of the term underscores the intersection of social media and financial analysis, as well as the ongoing challenges Trump faces in managing his public image and conveying the complexities of his trade policies to both the media and the public.
TruthLens AI Analysis
The recent article sheds light on President Donald Trump's reaction to the emergence of a derogatory acronym, TACO, which stands for "Trump Always Chickens Out." It reveals his frustration not only about the term but also about his team's failure to inform him about its rise in popularity. This insight into Trump's temperament and his perception of weakness highlights the potential political ramifications surrounding his approach to tariffs and negotiations.
Frustration Over Perception of Weakness
Trump's irritation seems rooted in his desire to maintain a strong image as a negotiator. The term TACO implies that he frequently backs down from his tariff threats, which contradicts his narrative of being a tough negotiator. His response to the reporter indicates a sensitive spot regarding how his tariff strategies are perceived by the public and the financial markets. This illustrates a broader concern for Trump: that any perception of weakness could undermine his negotiating position and authority.
Implications for His Supporters and Opponents
The article hints at a divide among Trump’s supporters and critics. Those who view him as a strong leader might resonate with his frustration, while his opponents may use this incident to further argue that he is indecisive. By showcasing his irritation, the article could reinforce his base's loyalty, as it portrays him as someone who is deeply engaged in his political image. Conversely, critics might interpret this as an indication that he is easily rattled by public opinion.
Market Reactions and Economic Impact
The mention of Wall Street's use of the term TACO suggests an underlying economic concern regarding Trump's tariffs. If traders begin to believe that Trump will backtrack on his tariff threats, it could lead to market fluctuations. This news could potentially affect stocks in industries directly impacted by tariffs, such as agriculture and manufacturing. The idea of uncertainty surrounding Trump's tariff policies could influence investor confidence and market stability.
Political Context and Power Dynamics
This incident feeds into the larger narrative of Trump's presidency, where his actions and words are closely scrutinized. As the global political landscape shifts, the implications of his tariff policies and negotiations with various countries could have significant ramifications. The TACO acronym serves as a reminder of the ongoing tension between Trump's aggressive trade stance and the realities of global economic interdependence.
Use of Language and Potential Manipulation
The language used in the article may evoke a specific interpretation of Trump's character and decision-making style. By framing his response in terms of irritation and weakness, it could be perceived as an attempt to manipulate public perception. The choice of words and the focus on Trump's emotional reaction highlight a strategy to portray him in a particular light, potentially influencing how readers view his leadership.
Considering all these aspects, the article presents a nuanced take on Trump's character while hinting at broader economic and political implications. This approach encourages readers to reflect on the interplay between personal perception and political strategy, suggesting that the news serves as a critical commentary on current events.