China will reduce tariffs on American goods from 125% to 10%, and the U.S. will lower 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 broke, the U.S. stock market surged tonight! Just think about it, when tariffs were high before, many businesses struggled, costs were high, and profits were low. Now that tariffs are reduced, business costs are lower, and profit margins are larger, how could the stock market not rise?

However, there are also regrettable aspects. Tariffs can be eliminated, and markets can recover, but many people sold their stocks early or cleared their positions due to poor market conditions, and now even if the market improves, those positions cannot be regained, which is really a shame.

Next, the market is likely to start speculating on interest rate cut expectations. With tariffs down and the economic environment improving, everyone will look forward to interest rates also being lowered, making loans cheaper for businesses.