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It’s a week since Donald Trump stormed to victory in Iowa.

The polls predicted he would do well, but that didn’t make this first test of his re-electability any less remarkable.

The four-times indicted, twice impeached, election-denying, global agitator won in all but one of the state’s 99 counties.

It was unprecedented on many levels. He secured 51% of the vote, winning by a margin of 30 points.

For the former president’s many supporters, it represents the beginning of his second coming. His road back to the White House is clearer, they think.

But many in America and well beyond are baffled and alarmed. Why is a man so divisive, so polarising, so surrounded by chaos, so popular still?

As America’s media pundits packed up their glitzy pop-up Iowa studios and headed east back to their metropolitan bases, I headed west into the heart of the US.

I wanted to understand the enduring draw of Donald Trump.

Donald Trump holds a rally in advance of the New Hampshire presidential primary election in Rochester
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Donald Trump at a rally before the New Hampshire presidential primary


Over the past few years, I’ve spent plenty of time at Mr Trump’s rallies.

They are more like rock concerts than political events and they are where you’ll find the diehards; the people who’ll seemingly do anything for Mr Trump.

They are the people for whom he is more than a political leader. He’s worshipped.

There is genuinely a strange gravity at the rallies. Conspiracies swirl. Truth and fiction blur. Reason is absent.

I wanted to get beyond that.

The people at the rallies represent his base of support but they alone didn’t win him the White House before and they won’t do it again.

He won the White House in 2016 by convincing a broader group that he was the answer.

In 2020, he failed to convince enough Americans that he deserved another four years, losing to Joe Biden.

But now he hopes Iowa is the indicator that he can turn it all around again this November.

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Donald Trump won comfortably in Iowa

Getting beyond the base

To the west of Iowa is Nebraska. It’s a conservative heartland. Farming is the main industry.

It’s the start of a journey to understand the broader and apparently enduring appeal of Mr Trump – beyond the rallies.

First stop is the small town of Prague and a meeting with farmer Mike Kubik.

His business is grain, his politics is conservative and his life is good.

“I’ve been here basically my whole life. Nebraska born and bred,” he tells me as we tour his snow-covered land on his all-American quad buggy.

“Life is excellent,” he adds. “I love my job – I’ve never had a bad day.”

Mike Kubik says it feels like the Biden government 'doesn't seem to care'
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Mike Kubik says it feels like the Biden government ‘doesn’t seem to care’

Mr Kubik’s experience is a reflection of Nebraska’s economy.

The midwestern state has among the nation’s largest gains in personal income, and unemployment is low.

He is happy with his son’s education at the local school. It’s the good life.

Economically his experience mirrors the national story, too. America is booming but it’s not trickling down; people aren’t feeling it.

“Our economy is going down,” Mr Kubik tells me from across his kitchen table.

“We’ve more than doubled our fuel costs. Our chemicals have gone up, our fertilizer has gone up, the cost of equipment has gone up. Food is terrible, and our government doesn’t seem to care.”

Mr Kubik’s story reflects the puzzle of American politics right now.

There is a disconnect between perception and reality in America.

Mr Kubik’s lot may be good, but it just felt better before. There is a lingering nostalgia compounded by stubborn inflation.

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A sign promoting Donald Trump's popular 'Make America Great Again' slogan in Nebraska
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A sign promoting Donald Trump’s popular ‘Make America Great Again’ slogan in Nebraska

Nostalgia for Trump?

Mr Kubik adds: “Our government is not getting deals done, the export – our grain. It is hurting our bottom line, our prices are dropping.”

And then a view I will hear over and over on my journey ahead: “Trump put America first. There are some things that I didn’t agree with, but overall, he leads with leadership. He’s a businessman. He’ll get a deal done.”

As we talk, Mr Kubik conveys a multi-layered nervousness – about the economy, about the “woke” direction of the nation, and about global security – all of which seem far removed from his good Nebraskan life.

Mr Kubik points out that no wars began under Mr Trump.

President Biden is managing two and is exposing the limited worth of American leadership – with Israel-Gaza, Russia-Ukraine and China’s century-defining rise.

He presents an argument you hear over and over among supporters of the former president – that Russian President Vladimir Putin wouldn’t have dared invade Ukraine with Mr Trump in the White House – a point Mr Trump likes to run with, probably because it’s neatly unprovable.

“Donald Trump has power to say ‘don’t do it’. And the thing is, they believe that he’ll enforce it,” Mr Kubik says.

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From 16 Jan: ‘I’ll solve Ukraine and Israel situation’

Trump ‘not afraid’ of ‘chaos’

At one level or another, most here are in agriculture.

Deeper into Nebraska, my next conversation is with crop scientist Trey Stephens.

He helps the farmers to make a profit.

“I think now in these last four years, I haven’t felt a lot of attention to agriculture from this administration,” he tells me.

But quickly, Mr Stephens conveys that it’s about more than just business and the economy.

Trey Stephens says it always felt like Trump was 'in control'
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Trey Stephens says it always felt like Trump was ‘in control’

“It always felt like Trump was in control and, you know, right now, these last four years, it’s kind of like who is in control?” he asks.

“What about the chaos that seems to follow Trump?” I ask.

“Yeah. I think I mean, in order for change to happen, sometimes chaos ensues. And Trump is not afraid of that,” Mr Stephens says.

He returns to the same thought repeatedly in our conversation – that Mr Trump isn’t a politician. He was elected to shake things up and to return power to the American people.

And the divisiveness?

“I try to remove myself from a lot of the things he says and focus on the things that he does,” Mr Stephens adds. “If it was my wish, I would have a businessman that’s strong like Trump, but maybe he just doesn’t say as much.”

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Mark Stone spoke to Trump supporters in snow-covered Nebraska

‘I miss the America I grew up in’

As the interstate cuts south, Nebraska becomes Kansas, but the politics doesn’t shift much.

The weekly auction in the town of Manhattan draws farmers and their cattle from across the state.

It’s an all-American scene – cowboys in their stetsons. Cliched? No. This is as real as it gets – a snapshot from the very middle of America.

Among the crowd, I meet rancher Jamie Grollmes.

She says: “When Trump was in office, it was a lot more steady. You didn’t see the highs and lows. It was a lot more consistent, you knew what to expect. With Mr Biden we’re on a rollercoaster in terms of our markets.”

Jamie Grollmes says things were more 'steady' under Trump
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Jamie Grollmes says things were more ‘steady’ under Trump

But what about Mr Trump the man, I ask. He’s pretty unique?

“He annoys me,” she replies. “I think he needs to learn to keep his mouth shut on some things. I think he’s very good on business, but I think he says some things he shouldn’t and sometimes I think he needs to keep his mouth shut.”

A few seats away is retired rancher Tom Massey. His baseball cap reflects his politics.

“I miss the America I grew up in,” it says.

Retired rancher Tom Massey is wearing a cap that echoes the feelings of many Americans
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Retired rancher Tom Massey is wearing a cap that echoes the feelings of many Americans

Who’s the answer, I ask. Who is going to make America better?

“Well, I think Trump will change things around if he gets back in, I really do,” he answers. “I think he’s going to get our border closed up, get things back to normal.

“I think he’s not a politician, I think he’s a businessman. When he came in the first time, he changed a lot.”

The man running the auction is something of a local celebrity. Andrew Sylvester is an award-winning auctioneer.

We sit for a coffee in the auction hall cafe where he reflects on two Americas, far apart.

He says: “We live here in the middle of the United States. I think that people on both the east and west coast, where there’s high populations, I think they probably forget where their food comes from.

“To them, their food comes from the grocery store, when in fact, we grow it right here in what they call flyover states.”

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Like others, he sees flaws in Mr Trump. And he’s baffled at America’s inability to find fresh candidates.

“I don’t know why the Democrats and Republicans can’t come up with younger candidates or candidates that don’t have any baggage,” he says.

“Biden’s side obviously has baggage. And Donald Trump seems to be in and out of court and there’s issues there. But we’re going to vote with whoever the nominees are.”

“And for you, that means Trump’s the man if he’s the nominee?” I ask.

“Absolutely. Absolutely. I’ll vote for Donald Trump again.”

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Financial markets were always going to respond to Trump tariffs but they’re also battling with another problem

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Financial markets were always going to respond to Trump tariffs but they're also battling with another problem

Global financial markets gave a clear vote of no-confidence in President Trump’s economic policy.

The damage it will do is obvious: costs for companies will rise, hitting their earnings.

The consequences will ripple throughout the global economy, with economists now raising their expectations for a recession, not only in the US, but across the world.

Tariffs latest: FTSE 100 suffers biggest daily drop since COVID

Financial investors had been gradually re-calibrating their expectations of Donald Trump over the past few months.

Hopes that his actions may not match his rhetoric were dashed on Wednesday as he imposed sweeping tariffs on the US’ trading partners, ratcheting up protectionism to a level not seen in more than a century.

Markets were always going to respond to that but they are also battling with another problem: the lack of certainty when it comes to Trump.

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He is a capricious figure and we can only guess his next move. Will he row back? How far is he willing to negotiate and offer concessions?

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These are massive unknowns, which are piled on to uncertainty about how countries will respond.

China has already retaliated and Europe has indicated it will go further.

That will compound the problems for the global economy and undoubtedly send shivers through the markets.

Much is yet to be determined, but if there’s one thing markets hate, it’s uncertainty.

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Stock markets suffer sharp drops after Donald Trump announces sweeping tariffs

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Stock markets suffer sharp drops after Donald Trump announces sweeping tariffs

Stock markets around the world fell on Thursday after Donald Trump announced sweeping tariffs – with some economists now fearing a recession.

The US president announced tariffs for almost every country – including 10% rates on imports from the UK – on Wednesday evening, sending financial markets reeling.

While the UK’s FTSE 100 closed down 1.55% and the continent’s STOXX Europe 600 index was down 2.67% as of 5.30pm, it was American traders who were hit the most.

Trump tariffs latest: US stock markets tumble

All three of the US’s major markets opened to sharp losses on Thursday morning.

A person works on the floor at the New York Stock Exchange in New York, Monday, March 31, 2025. Pic: AP
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The S&P 500 is set for its worst day of trading since the COVID-19 pandemic. File pic: AP

By 8.30pm UK time (3.30pm EST), The Dow Jones Industrial Average was down 3.7%, the S&P 500 opened with a drop of 4.4%, and the Nasdaq composite was down 5.6%.

Compared to their values when Donald Trump was inaugurated, the three markets were down around 5.6%, 8.7% and 14.4%, respectively, according to LSEG.

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Worst one-day losses since COVID

As Wall Street trading ended at 9pm in the UK, two indexes had suffered their worst one-day losses since the COVID-19 pandemic.

The S&P 500 fell 4.85%, the Nasdaq dropped 6%, and the Dow Jones fell 4%.

It marks Nasdaq’s biggest daily percentage drop since March 2020 at the start of COVID, and the largest drop for the Dow Jones since June 2020.

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The latest numbers on tariffs

‘Trust in President Trump’

White House press secretary Karoline Leavitt told CNN earlier in the day that Mr Trump was “doubling down on his proven economic formula from his first term”.

“To anyone on Wall Street this morning, I would say trust in President Trump,” she told the broadcaster, adding: “This is indeed a national emergency… and it’s about time we have a president who actually does something about it.”

Later, the US president told reporters as he left the White House that “I think it’s going very well,” adding: “The markets are going to boom, the stock is going to boom, the country is going to boom.”

He later said on Air Force One that the UK is “happy” with its tariff – the lowest possible levy of 10% – and added he would be open to negotiations if other countries “offer something phenomenal”.

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How is the world reacting to Trump’s tariffs?

Economist warns of ‘spiral of doom’

The turbulence in the markets from Mr Trump’s tariffs “just left everybody in shock”, Garrett Melson, portfolio strategist at Natixis Investment Managers Solutions in Boston, told Reuters.

He added that the economy could go into recession as a result, saying that “a lot of the pain, will probably most acutely be felt in the US and that certainly would weigh on broader global growth as well”.

Meanwhile, chief investment officer at St James’s Place Justin Onuekwusi said that international retaliation is likely, even as “it’s clear countries will think about how to retaliate in a politically astute way”.

He warned: “Significant retaliation could lead to a tariff ‘spiral of doom’ that could be the growth shock that drags us into recession.”

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Tariffs about something more than economics: power

It comes as the UK government published a long list of US products that could be subject to reciprocal tariffs – including golf clubs and golf balls.

Running to more than 400 pages, the list is part of a four-week-long consultation with British businesses and suggests whiskey, jeans, livestock, and chemical components.

Meanwhile, Prime Minister Sir Keir Starmer said on Thursday that the US president had launched a “new era” for global trade and that the UK will respond with “cool and calm heads”.

It also comes as Canadian Prime Minister Mark Carney announced a 25% tariff on all American-imported vehicles that are not compliant with the US-Mexico-Canada trade deal.

He added: “The 80-year period when the United States embraced the mantle of global economic leadership, when it forged alliances rooted in trust and mutual respect and championed the free and open exchange of goods and services, is over. This is a tragedy.”

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Trump’s tariffs are about something more than economics: power

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Trump's tariffs are about something more than economics: power

Tanking stock markets, collapsing world orders, devastating trade wars; economists with their hair ablaze are scrambling to keep up.

But as we try to make sense of Donald Trumps’s tariff tsunami, economic theory only goes so far. In the end this surely is about something more primal.

Power.

Understanding that may be crucial to how the world responds.

Yes, economics helps explain the impact. The world’s economy has after all shifted on its axis, the way it’s been run for decades turned on its head.

Instead of driving world trade, America is creating a trade war. We will all feel the impact.

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PM will ‘fight’ for deal with US

Donald Trump says he is settling scores, righting wrongs. America has been raped, looted and pillaged by the world trading system.

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But don’t be distracted by the hyperbole – and if you think this is about economics alone, you may be missing the point.

Above all, tariffs give Donald Trump power. They strike fear into allies and enemies, from governments to corporations.

This is a president who runs his presidency like a medieval emperor or mafia don.

It is one reason why since his election we have seen what one statesman called a conga line of sycophants make their way to the White House, from world leaders to titans of industry.

The conga line will grow longer as they now redouble their efforts hoping to special treatment from Trump’s tariffs. Sir Keir Starmer among them.

President Trump’s using similar tactics at home, deploying presidential power to extract concessions and deter dissent in corporate America, academia and the US media. Those who offer favours are spared punishment.

His critics say he seeks a form power for the executive or presidential branch of government that the founding fathers deliberately sought to prevent.

Whether or not that is true, the same playbook of divide and rule through intimidation can now be applied internationally. Thanks to tariffs

Each country will seek exceptions but on Trump’s terms. Those who retaliate may meet escalation.

This is the unforgiving calculus for governments including our own plotting their next moves.

The temptation will be to give Trump whatever he wants to spare their economies, but there is a jeopardy that compounds the longer this goes on.

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Chinese Vice President Han Zheng gestures to Britain's Chancellor of the Exchequer Rachel Reeves following a photo session at the Great Hall of the People in Beijing, Saturday, Jan. 11, 2025. (Florence Lo/Pool Photo via AP)
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Could America’s traditional allies turn to China? Pic: AP

Malcolm Turnbull, the former Australian prime minister who coined the conga line comparison, put it this way: “Pretty much all the international leaders I have seen that have sucked up to Trump have been run over. The reality is if you suck up to bullies, whether it’s global affairs or in the playground, you just get more bullying.”

Trading partners may be able to mitigate the impact of these tariffs through negotiation, but that may only encourage this unorthodox president to demand ever more?

Ultimately the world will need a more reliable superpower than that.

In the hands of such a president, America cannot be counted on.

When it comes to security, stability and prosperity, allies will need to fend for themselves.

And they will need new friends. If Washington can’t be relied on, Beijing beckons.

America First will, more and more, mean America on its own.

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