Trump's new trade war: markets react

Donald Trump announced new import tariffs on China, Canada, and Mexico, leading to market panic and sharp declines in futures.

By the SpyStocks desk Β· 1y ago Β· 2 min read

Good morning friends,

The last thing we want to do is get involved in politics. πŸ‡ΊπŸ‡Έ

But Trump's move to declare Trade War #2 and impose new tariffs is so controversial that we couldn't resist at least telling you why our week is going to open in the red. πŸ”½

Anyone who peeked at futures surely saw that we are starting the week in the red. πŸ“‰

But the question is -

Is the market's doomsday scenario happening? 😱

Let's summarize the situation for you -

Trump opens a new trade front – against China, Canada, and Mexico. πŸ‡¨πŸ‡¦πŸ‡¨πŸ‡³πŸ‡²πŸ‡½

πŸ—“ Starting February 6:

25% tariff on imports from Canada and Mexico. β˜„οΈ

10% tariff on products from China. β˜„οΈ

10% tariff on oil from Canada. β˜„οΈ

And 25% on Mexican oil. β˜„οΈ

US President Donald Trump signed an order imposing a 25% tariff on imports from Mexico and Canada, as well as a 10% tariff on China and energy resources from Canada – according to a senior administration official – the tariffs will take effect in a few days – on February 6. 🀌

But it doesn't end here -

The leaders of the countries on which the tariffs were imposed issued belligerent statements about revenge (!) πŸ”₯

- China is considering retaliatory measures πŸ‡¨πŸ‡³

- In Canada, American products are being removed from stores. πŸ‡¨πŸ‡¦

- And Mexico is threatening counter-tariffs in response to the US. πŸ‡²πŸ‡½

Economists warn – danger of stagflation and recession in Canada and Mexico following Trump's tariffs. πŸ“Š

And Trump? He's doing his thing - 😈

β€œIf they retaliate? - We'll raise tariffs even more! And more!״🀌

Meanwhile, markets are panicking and futures are plummeting following the opening shot of a new trade war - the US πŸ”€πŸ”€ the world! β›ˆ

What do you think about Trump's move, which seems like the opening shot of Trade War #2? πŸ‡ΊπŸ‡Έ

I'm in favor - πŸ‘

I'm against - πŸ¦„

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