The News
US President Donald Trump is reportedly readying more targeted levies on American trading partners than the mass duties originally threatened, helping to allay market concerns.
Trump also this weekend pledged “flexibility” ahead of a planned Apr. 2 imposition of reciprocal tariffs. Still, traders remain worried: Flexibility “connotes openness to change,” CNBC noted, but “also signals uncertainty, something anathema to the market.”
Already, stocks in Europe and China are outperforming the US, with investors worried by the trade war and wild swings in American foreign policy, and because of huge prior bets on US stocks from abroad, “the downside risks… of foreigners selling are significant,” one economist warned.
AD