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Christopher Joye

Musk-Trump fissure raises prospect of higher rates

The breakdown in relations between the US president and the world’s richest person could push long-term interest rates a lot higher.

Many had hoped that Elon Musk and Donald Trump’s powerful political partnership would be short-lived, and the mercurial pairing did not disappoint.

On Thursday, a vitriolic war of words broke out between the two as a consequence of Musk’s sudden and uncompromising attack on Trump’s One Big Beautiful Bill Act, which is the president’s signature budget.

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Christopher Joye is a portfolio manager with Coolabah Capital, which invests in securities, including those discussed in his column. Connect with Christopher on Twitter.

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    Original URL: https://www.afr.com/policy/economy/musk-trump-fissure-raises-prospect-of-higher-rates-20250606-p5m5h5