TL;DR
Trump’s tariff cuts are a deceptive ‘win’ masking continued economic damage. It’s like a mugger returning part of your money after robbing you—still a loss.
Story
Trump’s ’trade war’ tariff cuts? Don’t celebrate yet. This reeks of manipulation, like a used car salesman suddenly dropping the price after inflating it. Remember 2008? Subprime mortgages were repackaged as ‘safe’ investments—until they weren’t. This ‘de-escalation’ could be a similar ploy.
‣ Tariff: A tax on imported goods. Think of it as a penalty for buying from another country.
Why now? Markets love good news, even fake ones. A 50-65% tariff is STILL high. It’s like getting mugged for $100, then the mugger ‘kindly’ returns $40. You’re still out $60! Small businesses, already struggling, will continue to suffer.‣ Small business: The backbone of our economy…and the first to get crushed in a downturn.
This isn’t ‘winning’; it’s reshuffling the deck chairs on the Titanic. Historically, trade wars hurt everyone involved. Remember Smoot-Hawley in the 1930s? It worsened the Great Depression.‣ Smoot-Hawley Tariff Act: A disastrous 1930 law that raised tariffs, triggering retaliatory tariffs and a global trade collapse.
Trump’s erratic behavior benefits Wall Street insiders who profit from volatility. They bet against the market, then cash in when it crashes. The average Joe? Left holding the bag. Again.
Advice
Don’t fall for the hype. ‘De-escalation’ doesn’t equal recovery. Diversify your investments, and brace for impact.
Source
https://www.reddit.com/r/stocks/comments/1k5zq7a/white_house_considers_slashing_china_tariffs_to/