Donald Trump bets on $82 million in bonds as the market prepares for potential interest rate cuts

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New financial disclosures show that President Trump has held more than $82 million in municipal and corporate bonds, representing a strong macro bet that the Federal Reserve will cut interest rates in 2025. The filings reveal a series of transactions involving school district bonds, utility bonds, county-level infrastructure financing, and long-term bonds extending into the 2030s–2040s. Many of the purchases are in the $50,000–$250,000 range, with some reaching $500,000–$1 million.

This portfolio demonstrates a strategy of locking in yields ahead of a potential Fed policy pivot. Investors typically accumulate long-term bonds when they expect inflation to cool, borrowing costs to drop, and the Fed to ease—factors that could push bond prices sharply higher. Trump’s positioning aligns with market forecasts of an economic slowdown. However, if the Fed keeps rates higher for longer, the risk of losses is also significant.

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