BlockBeats news, August 7, Trump's new reciprocal tariffs took effect today at 12 PM. Wall Street firms have sounded the alarm. Morgan Stanley, Deutsche Bank, and Evercore ISI have all warned that the S&P 500 index may correct. This warning comes at a time when the U.S. economy faces increasing concerns, with last week's data showing a rise in inflation, while job growth and consumer spending show signs of slowing.
The latest poll shows that 62% of voters oppose Trump's tariff policy, 58% oppose his tax reform and spending bill, and 55% are dissatisfied with his economic governance. There are also questions about the sustainability of Trump's plans, as his use of emergency powers to impose tariffs on specific countries is facing legal challenges. He is now relying on more legally grounded authorizations to impose tariffs on specific industries such as automotive and metals.
Tim Meyer, a trade expert at Duke University School of Law, pointed out that the government is trying to create the illusion that 'the tariff cycle is coming to an end', but 'its legal basis has serious flaws'. Trump insists that his measures will usher in a new golden age of the economy and has dismissed data that contradicts his narrative, firing the head of the statistical agency that released the latest employment data. (Jinshi)