Both Parties Hit Potholes
Author: Greg Valliere
May 14, 2025
AS USUAL, SELF-INFLICTED WOUNDS are afflicting both political parties — the Republicans cannot defend Donald Trump’s jet deal and the Democrats are still tied, incredibly, to Joe Biden.
WE HAVE TALKED WITH REPUBLICANS THIS WEEK who are dismayed by Trump’s tone-deaf refusal to reject a “gift” of a $400 million luxury jet from Qatar. U.S. intelligence experts are incredulous; the plane almost certainly will be loaded with eavesdropping bugs, they say.
OFF THE RECORD, REPUBLICANS IN CONGRESS SAY they will vote to ban the sale if it looks like it might actually occur. In any event, it could take several years for U.S. officials to scrub the plane.
THE BIGGER ISSUE, WHICH HAS INFLAMED MAGA conservatives, is why Trump would boast of the gift, which has made his trip to the Mideast a narrative about Trump’s business dealings.
THE DEMOCRATS HAVE HIT THEIR OWN POTHOLE: New revelations about Biden’s health have been a dominant story in Washington this week. A year ago reports began to surface that he was in clear mental decline, which his inner circle denied.
WE AND OTHERS WERE SIMPLY REPORTING THE OBVIOUS last year, and now the books are coming out — Biden didn’t recognize long-time friends and was becoming a security risk, according to these new books.
INCREDIBLY, BIDEN IS BACK on the campaign trail, giving tightly-scripted speeches that simply confirm that he would have been far too fragile to serve a second term. So now this has become a blame game — who gets the blame for concealing his decline? Jill Biden is a target.
NEITHER TRUMP NOR BIDEN SEEMS to realize the damage they have done to their parties. Grass roots Republicans are disgusted to see Trump and his sons focusing on their own business dealings, and former Biden aides deny that they tried to conceal his rapid decline.
PUBLIC CONFIDENCE in both parties and Congress is very low — below 30 percent in many surveys. Perhaps signs that the trade war is cooling will improve the public’s mood. But the cynical public sees politicians enriching themselves or lying about their health — and it’s no surprise that confidence is low.
The views expressed in this blog are provided as a general source of information based on information available as of the date of publication and should not be considered as personal investment advice or an offer or solicitation to buy and/or sell securities. Speculation or stated believes about future events, such as market or economic conditions, company or security performance, or other projections represent the beliefs of the author and do not necessarily represent the view of AGF, its subsidiaries or any of its affiliated companies, funds or investment strategies. Every effort has been made to ensure accuracy in these commentaries at the time of publication; however, accuracy cannot be guaranteed. Market conditions may change and AGF accepts no responsibility for individual investment decisions arising from the use of or reliance on the information contained herein. Any financial projections are based on the opinions of the author and should not be considered as a forecast. The forward looking statements and opinions may be affected by changing economic circumstances and are subject to a number of uncertainties that may cause actual results to differ materially from those contemplated in the forward looking statements. The information contained in this commentary is designed to provide you with general information related to the political and economic environment in the United States. It is not intended to be comprehensive investment advice applicable to the circumstances of the individual.
AGF Investments is a group of wholly owned subsidiaries of AGF Management Limited, a Canadian reporting issuer. The subsidiaries included in AGF Investments are AGF Investments Inc. (AGFI), AGF Investments America Inc. (AGFA), AGF Investments LLC (AGFUS) and AGF International Advisors Company Limited (AGFIA). AGFA and AGFUS are registered advisors in the U.S. AGFI is a registered as a portfolio manager across Canadian securities commissions. AGFIA is regulated by the Central Bank of Ireland and registered with the Australian Securities & Investments Commission. The subsidiaries that form AGF Investments manage a variety of mandates comprised of equity, fixed income and balanced assets.
About AGF Management Limited
Founded in 1957, AGF Management Limited (AGF) is an independent and globally diverse asset management firm. Our companies deliver excellence in investing in the public and private markets through three business lines: AGF Investments, AGF Capital Partners and AGF Private Wealth.
AGF brings a disciplined approach, focused on incorporating sound, responsible and sustainable corporate practices. The firm’s collective investment expertise, driven by its fundamental, quantitative and private investing capabilities, extends globally to a wide range of clients, from financial advisors and their clients to high-net worth and institutional investors including pension plans, corporate plans, sovereign wealth funds, endowments and foundations.
Headquartered in Toronto, Canada, AGF has investment operations and client servicing teams on the ground in North America and Europe. AGF serves more than 800,000 investors. AGF trades on the Toronto Stock Exchange under the symbol AGF.B.
For further information, please visit AGF.com.
©2025 AGF Management Limited. All rights reserved.
