Trump's tariff stick covers the globe. On April 2, local time in the U.S., Trump signed the so-called 'reciprocal tariff' executive order, which imposes an additional 34% tariff on China!
Looking at the tariff list, Trump is really going all out, creating chaos globally!
U.S. stock futures have dropped sharply across the board, plummeting! The cryptocurrency market has also responded with a decline!
The impact of U.S. tariff policy on the global economy and finance is enormous! Let's analyze the effects briefly:
Stock Market: The tariff policy has intensified global trade tensions, leading to increased market uncertainty. U.S. stocks generally fell, especially companies related to international trade were hit hard, investor confidence was undermined, and market volatility increased.
Cryptocurrency: In the short term, the risk-averse sentiment triggered by tariffs has caused funds to withdraw from high-risk assets (such as cryptocurrencies), resulting in price declines. However, Trump's friendly attitude towards cryptocurrencies and possible strategic reserve plans provide the market with long-term positive expectations, partially offsetting the negative impact.
Overall, there is significant short-term pressure, and the long-term trend depends on policy implementation and market adaptation.
However, we must be cautious. The situation is not over; retaliatory tariff policies from various countries have not yet been introduced. The impact of tariffs on various aspects of economic operations has not yet deeply unfolded. The temporary stock market and cryptocurrency trends do not accurately reflect the current economic and financial situation.
Investors are advised to be very cautious with their investment decisions in the near term!
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