Donald Trump is considering a ’90-day pause on all tariffs except for China’, according to reports.
The president’s senior economic advisor has revealed the administration is considering the pause, which was then reported by CNBC.
The reports prompted a major surge of 8% in the markets followed by an immediate drop of 3.5%.
However, the White House has claimed the reports are “fake news”, whilst the White House’s Rapid Response account on X also quashed the reports.
On Monday, markets in Asia and Europe plunged, and the trend was predicted to continue when Wall Street opened later in the day.
This is exactly what happened, with the S&P 500 is down 3.4%, the Dow Jones is 3.1% lower, and the Nasdaq has fallen 4.1% when the bell rung on Wall Street.
But it wasn’t long before things got even worse, with the Dow Jones is sliding down to 4.4%, the S&P 500 losing 4.7% and the Nasdaq falling by 5%.
Trillions of dollars have been wiped off the stock market since Trump announced the tariffs on what he dubbed ‘Liberation Day’ last week.
But the even Trump and his staunchest allies can’t have foreseen just how bad the impact on markets would be, and now some Republican donors have turned against the president.
Shortly before the markets opened on the New York Stock Exchange, Trump took to Truth Social to seemingly try and call for calm by coining a new term – PANICAN, which he said was a “new party based on weak and stupid people.”
In the post, the president wrote: “The United States has a chance to do something that should have been done DECADES AGO. Don’t be Weak! Don’t be Stupid! Don’t be a PANICAN (A new party based on Weak and Stupid people!). Be Strong, Courageous, and Patient, and GREATNESS will be the result!”
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