#TariffsPause

The #TariffsPause refers to a temporary suspension or halt in the imposition or enforcement of tariffs (import taxes) between countries, aimed at promoting international trade, alleviating economic tensions, and facilitating trade negotiations.

*Recent Developments:*

- On April 9, 2025, President Donald Trump announced a 90-day pause on most U.S. tariffs, except for China, where tariffs were increased to 125%.

- This decision led to a significant surge in U.S. stock markets, with the S&P 500 rising 9.5% and the Nasdaq jumping 12.2%, marking their largest single-day gains in years.

- The pause is seen as a temporary reprieve for industries hit hardest by supply chain disruptions and increased costs.

- However, President Trump indicated on April 25 that another 90-day tariff pause is unlikely, signaling a potential return to stricter trade policies ¹.

*Impact on Markets:*

- The temporary halt in escalating trade restrictions has offered a much-needed breather for industries and investors alike.

- Bitcoin climbed back above $83,000, and the U.S. stock market added $5.5 trillion in response to the tariff pause.

- The pause presents an opportunity for global trade to stabilize and rebound, but uncertainty remains about future trade policies.

*Global Trade Implications:*

- The World Trade Organization (WTO) acknowledges that the temporary pause in tariffs has eased the decline in global trade, but warns of significant downside risks.

- The potential reactivation of suspended "reciprocal tariffs" by the U.S. could impact global economic growth and international trade relationships ¹.