#TradeWarEases The trade war between the United States and China seems to be easing, with significant developments impacting the market. Here’s what’s happening ¹ ²:
- *Tariff Truce*: The United States and China have announced a 90-day tariff truce, with the U.S. cutting tariffs on Chinese imports from 145% to 30% and China cutting tariffs on U.S. goods from 125% to 10%. This move is seen as a major victory for Trump and has boosted market sentiment.
- *Market Reaction*: S&P 500 futures surged by 2.8% following the announcement of the trade agreement, and Bitcoin surpassed $105,000. The agreement aims to ease trade tensions between the two economies and enhance market sentiment.
- *Economic Impact*: Trump’s policies could lead to a massive economic boom, driving markets up before the elections. Stocks, cryptocurrencies, and meme stocks may see significant gains, with Bitcoin potentially following the stock market's lead.
- *Investor Sentiment*: Some investors are buying the dip, while others are cautious about potential market fluctuations. Goldman Sachs forecasts that the S&P 500 will rise by 9% to 6300 in the next 12 months, driven by strong earnings growth.