#MarketRebound #TrumpVsPowell

The U.S. stock market has experienced significant volatility in April 2025, largely due to President Donald Trump's sweeping tariff policies.

Initial Market Turmoil

On April 2, President Trump announced a 10% baseline tariff on most imports, with higher rates for specific countries, including a 245% tariff on Chinese goods. This led to a sharp decline in global markets, with the S&P 500 falling more than 12% in the following days. Investor confidence was shaken, drawing comparisons to past financial crises .

Temporary Reprieve and Market Rebound

In response to the market downturn, Trump announced a 90-day pause on the newly implemented tariffs (excluding those on Chinese goods) on April 9. This decision spurred a significant market rally.

Recent Developments

As of April 22, U.S. stocks continued to rebound, buoyed by strong corporate earnings and signs of easing trade tensions. All three major indices posted gains exceeding 2.5%, indicating renewed investor optimism .

OUTLOOK

While the temporary suspension of tariffs has provided short-term relief, the potential for future trade policy shifts keeps markets on edge. Investors are advised to stay informed and consider diversification strategies to mitigate potential risks.