#贸易战缓和 China will reduce tariffs on American goods from 125% to 10%, and the United States will also reduce tariffs on Chinese goods from 145% to 30%, and these new tariffs will be implemented for 90 days! This trade war is finally coming to an end!
As soon as this news came out, the US stock market surged directly tonight! Think about it, when the tariffs were high before, many businesses struggled, corporate costs were high, and profits were low. Now that the tariffs have been reduced, corporate costs are lower, and profit margins are larger, how can the stock market not rise?
However, there are also some regrettable aspects. Tariffs can be canceled, and the market can rebound, but many people sold their stocks or cleared their positions early due to poor market conditions, and now even if the market is good again, those positions cannot be retrieved, which is really a pity.
Next, the market is likely to start speculating on interest rate cut expectations again. With the tariffs reduced and the economic environment improving, everyone will expect that interest rates could also be lowered, making loans cheaper for businesses and giving consumers more incentive to spend, which is another potential benefit for the stock market. Let's wait and see how the market develops next; hopefully, it will get better and better!