President Trump’s tariffs have created a lot of volatility in the stock market as prices have fallen. This is because of the simple fact that in the past, tariffs have not been a net positive for the economy and markets.
However, things are not so simple today. Many countries do things, even if they are not tariffs, which make their goods more affordable in the US and US goods more expensive in their countries. Like President Trump or not, it these new US tariffs could be seen as not starting a war but just firing back and standing up for US companies.
It is hard to know where all this will lead, however, we do think that once the markets stop focusing on tariffs and trade and notice that the economy is healthy and company profits are risings, stocks will rise.
To conclude today, I recently read an article by Stephen Moore called The Art of the Trump Trade Deal that I would like to share with you. I think what Moore says is a perspective that is interesting and needs to be heard. Please click on the article title and enjoy.