Scott Galloway has never been shy about his opinions, and in the latest episode of Prof G Markets, he pushed back hard against critics who say he’s afflicted with “Trump Derangement Syndrome.”
“For those of you who like to think I have Trump Derangement Syndrome, I don’t,” Galloway said.
“I have this thing called Capitalism and Democracy Addiction Syndrome. I really love Netflix, and I love living somewhere nice, and I love the rule of law, and I love people who make smart decisions. I’m just so into this whole prosperity and rights thing.”
The comments came during a fiery episode where Galloway and co-host Ed Elson tackled the fallout from President Donald Trump’s sudden 90-day pause on tariffs.
While some saw it as a strategic maneuver, Galloway called it economic chaos.
A Wild Week for Markets
Following the announcement, stocks soared. The Dow jumped nearly 8%, the S&P 500 rose by almost 10%, and the Nasdaq posted its best day in 24 years, climbing 12%.
But the celebration didn’t last. Once Trump re-raised tariffs on China to 145%, the markets tanked. The Dow fell 1,000 points, and the S&P and Nasdaq dropped around 4%.
Galloway believes the back-and-forth behavior did more than just shake up the markets; it broke trust.
“The president has turned our economy into a meme stock,” Elson said.
“Last week, the price movements of the S&P resembled those of a meme stock.”
Insider Trading Concerns
One of the most serious claims raised during the episode was the possibility of historic insider trading.
“April 9 will go down as the greatest day of insider trading in history,” he said. “There was someone who bought a huge number of zero-day call options on the S&P just hours before he released that tweet and released that announcement. Those options exploded by over 2,000%.”
Elson added, “Whoever did that made millions. And the only rational implication is that this individual knew what was going to happen. “
Long-Term Damage to the U.S.
Beyond the market whiplash, Galloway and Elson warned of deeper consequences. Investors, they said, are losing faith in the U.S. as a stable, reliable market.
“We’ve officially fired the starting gun on a global rotation away from America,” Elson said. He pointed out that bond yields rose after the pause, indicating higher borrowing costs for the U.S. —a long-term issue.
Real-World Pain
While Trump and his supporters called the brief market rally a win, Galloway emphasized how regular Americans were hurt.
“April 7 was the fifth-largest trading day for 401(k) assets in recorded history. According to him, people panicked. They sold low and locked in losses they couldn’t afford.
Companies have started pulling back, too. Microsoft scrapped a $1 billion data center in Ohio, Audi froze U.S. shipments, and Amazon canceled Asian vendor orders. Hiring and bonuses are on pause across industries.
“Nobody gets out of this alive,” Galloway said. Whether you’re a retiree, a new grad, or a business owner, everyone is being affected.
What Now?
Despite the grim tone, Galloway did offer advice: don’t panic, diversify, and think long-term.
“You want to talk to a tax advisor and align with your partner,” he said.
“Right now, it’s a free trade on global diversification.”
“I’m not looking to get rich. I’m looking to not get poor.”
The episode closed on a sobering note. Galloway predicted the U.S. market may see flat returns for the next decade, while its global reputation continues to decline.
“This is going to be a round trip,” he said. “We’re going to realize we have just been through hell and back for nothing.”
IMAGE CREDIT: “Donald Trump” by Gage Skidmore, via Flickr. Licensed under CC BY-SA 2.0. Image adjusted for layout.