In a recent tweet Tesla CEO Elon Musk is targeting the Federal Reserve Series of aggressive rate hikes and warned of a severe recession if the central bank does not change strategy.
In the assessment, Musk also attempted to establish himself as the most qualified person to comment on the economy and interest rates.
“Between Tesla, Starlink and Twitter, I may have more real-time global economic data in my head than anyone,” the tech entrepreneur wrote on Sunday.
Musk might be right. One could argue that demand trends for Tesla vehicles can paint a general picture of consumer spending, which accounts for two-thirds of economic activity. In recent weeks, the Tesla CEO has blamed the economy for his electric vehicle company’s woes. Weak economic conditions have dampened demand for electric vehicles, forcing the company to do so to lower vehicle prices several times this year.
As for Twitter, the social media platform derives much of its revenue from advertisers. A decline in corporate adspend may reflect pessimism about the economy or possibly weakening corporate fundamentals.
Because SpaceX’s and Tesla’s businesses are manufacturing companies that rely heavily on the supply chain, Musk may also be privy to the ecosystem in which these companies operate.
See also: How does Elon Musk make his money?
Photo: NASA Kennedy via flickr
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