Trump Promises Big Gains After Tariff Turmoil
On Wednesday, President Donald Trump took to his social media platform, Truth Social, to ease market fears as his controversial tariff policies continue to rattle the global economy.
With the U.S.’s sweeping reciprocal tariffs on 185 countries now officially in effect, Trump posted a message to reassure the public, writing, “BE COOL! Everything is going to work out well. The USA will be bigger and better than ever before!”
Stock Market Struggles and Treasury Yield Spike
Despite Trump’s attempt to instill confidence, the markets faced challenges. The S&P 500 was struggling to recover after a sharp sell-off that had pushed it dangerously close to bear market territory. In the Treasury market, the 10-year yield saw its biggest three-day jump since December 2001, raising concerns among investors about potential risks in the global financial system.
Retaliatory Tariffs from China and Market Outlook
As tensions escalated, China retaliated with a 84% tariff on U.S. imports, just as the Trump administration followed through on its threat to impose 104% duties on Chinese exports. Wall Street remained on edge, fearing that the shifting trade dynamics could lead to a self-inflicted recession.
In a follow-up post, Trump took to Truth Social again, suggesting that the market’s current downturn presents a great opportunity to buy.
Investors Eye S&P 500 Dip as a Buying Opportunity
Some strategists see a dip below the 5,000 mark for the S&P 500 as a potential buying opportunity, particularly after one of its worst two-day stretches. Goldman Sachs’ John Flood noted that long-term investors may start purchasing aggressively once the index drops to 5,000 and beyond. However, others, like Michael Kantrowitz of Piper Sandler, emphasize that the market’s recovery hinges on a shift in the tone of rhetoric, as this situation is unprecedented and does not fit historical patterns.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a "detective-like" mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
