The article analyzes the recent statements from former President Trump regarding the US economy and its shift towards a more protectionist stance. It highlights the expectation of increased tariffs and a focus on national industry, suggesting that such moves may lead to job creation in strategic sectors. However, there is a concern that most of the costs associated with these tariffs will ultimately be borne by US importers and consumers, leading to potential price pressures in the economy.

Furthermore, the piece delves into the promises of reducing energy prices through increased investment from Big Tech, aiming for self-sufficiency in electricity. However, achieving this goal is fraught with difficulties, as establishing new energy production capabilities takes considerable time. As a result, the article posits that inflation issues are likely to persist in the near future, highlighting a significant challenge for policymakers.

Lastly, the article addresses a structural issue concerning the rapidly growing demand for electricity from data centers, which is emerging as a new cycle for energy investments. This situation points toward future competition for electricity capacity in an economy increasingly driven by artificial intelligence, and it emphasizes the importance of these developments in the context of interest rates and Federal Reserve policies, illustrating that higher inflation leaves less room for the Fed to maneuver.