#TradeWarEases The recent 90-day suspension of tariffs between the United States and China marks a pivotal moment in easing global trade tensions. Announced after high-level talks in Geneva, the agreement reduces U.S. tariffs on Chinese goods to 30% and Chinese tariffs on American imports to 10%, down from previous highs of 145% and 125%, respectively .

This development has had an immediate positive impact on global financial markets. The Dow Jones Industrial Average surged by 1,160 points (2.8%), while the S&P 500 and Nasdaq gained 3.3% and 4.4%, respectively—their largest single-day gains since April 9 . Analysts view this tariff rollback as a "best case scenario," potentially paving the way for record highs in technology stocks and broader markets in 2025 .

Investor sentiment has also improved, with recession forecasts in betting markets decreasing from 52% to 40% following the easing of trade tensions . Additionally, the agreement has led to a strengthening of the U.S. dollar and a sell-off in safe-haven assets like gold .

While this 90-day pause provides temporary relief, it is not a comprehensive resolution. President Trump has indicated that tariffs could be reinstated if a broader trade deal is not achieved within this period . Nevertheless, the agreement represents a significant step toward stabilizing economic relations between the world's two largest economies.