#TrumpTariffs : Market Rebounds Amid US-China Tariff Easing
In a major move, the U.S. and China have agreed to reduce tariffs for the next 90 days, sparking optimism in global markets. Effective May 14, 2025, U.S. tariffs on Chinese goods have been cut from 145% to 30%, while China has lowered tariffs on U.S. imports from 125% to 10%. This easing comes after months of escalating tensions, including new U.S. fentanyl-related tariffs and Chinese retaliations.
Markets reacted quickly. The S&P 500 ETF (SPY) surged to $587.53, while gold (GLD) dropped to $293.50 as investors moved away from safe havens. While the trade thaw is promising, it’s only temporary—lasting 90 days. Traders should watch for further negotiations as this could shift macroeconomic sentiment rapidly.
