After extensive carnage reared across financial markets posed by President Donald Trump’s tariffs, a large portion of which went into effect earlier Wednesday, stocks roared back to life Wednesday after Trump announced a 90-day delay on a significant portion of his tariffs.
“There’s no sign yet that the market is managing to successfully find a bottom,” said one ... More
Trump announced Wednesday he signed a 90-day pause on implementing the more than 10% tariffs on 75-plus countries, sending stocks badly battered by this trade policy soaring.
The S&P 500, which follows 500 of the largest public American companies across industries, jumped 7% minutes after the announcement, while the tech-concentrated Nasdaq soared 9% and the blue chip Dow Jones Industrial Average shot up 7%, or about 2,500 points.
If gains hold, Wednesday would be the best percentage gains for all three indexes since 2020.
“BE COOL! Everything is going to work out well,” Trump posted to his Truth Social site shortly after market open, adding “THIS IS A GREAT TIME TO BUY!”
Trump had shown no sign he’d reverse course on the tariffs, encouraging companies to simply move all operations to the U.S. in a morning social media post, and China dug in further in its resistance to Trump’s more than 100% tariffs on Chinese imports, slapping an 84% levy on U.S. imports to the Asian country.
Tariffs have still wreaked havoc on equity valuations. The Dow is down 12%, or more than 5,000 points, from its December peak, the Nasdaq has lost 18% from its December high and the S&P has fallen 13% from its February high.