Market Movements and Policy Impacts
Global stock markets experienced significant volatility, with sharp declines in Japan, Europe, India, and the U.S., attributed to President Trump's tariff plan and its global repercussions.
Despite the turmoil, the Dow Jones and S&P 500 saw dramatic swings, initially plunging before recovering on news of a potential pause in tariffs, only to face further downturns as Trump threatened to raise tariffs on China.
International and Domestic Responses
Foreign leaders and economies expressed confusion and frustration over Trump's tariff strategy, with some countries like the Philippines and India showing interest in negotiating deals, while China retaliated with its own tariffs.
Domestically, Trump's contradictory statements regarding tariff negotiations and his focus on leveraging tariffs for trade deals have led to increased uncertainty among U.S. businesses and a cautious stance from the Federal Reserve.