Just like that, hope for the economy tied to the Trump administration's pro-business policies, such as tax codes, have gone up in smoke. In its place is an almost baseline scenario on Wall Street that the US economy will slip into a recession amid bruising new tariffs, while some sources we have talked to suggest the US economy is already in a mild recession and others have voiced concerns about a depression.

Federal Reserve Chairman Jerome Powell has acknowledged the challenges the US economy may face this year as tariffs ripple through global supply chains. He also has hinted the Fed’s hands may be tied with respect to an economic slowdown response. Yahoo Finance Executive Editor Brian Sozzi sits down with veteran economist and Independent Institute senior fellow Judy Shelton to get her perspective on the state of the economy as it has been shocked by the Trump administration. Shelton is a long-time critic of Fed policy, and she weighs in on what Powell & co. may do next.

Yahoo Finance's Opening Bid, brings you a high-octane take on the freshest analyst calls, wildest stock moves and shrewdest commentary in the business world. Executive Editor Brian Sozzi puts Wall Street's finest through their paces in this essential conversation for every investor - before the stock market opens.

Find this episode's transcripts and more episodes of Opening Bid at http://finance.yahoo.com/videos/series/opening-bid/.

Thoughts? Questions? Fan mail? Email us at [email protected].

Yahoo Finance's Opening Bid is hosted by Brian Sozzi, and produced by Langston Sessoms

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