📈 New York stock market surges! Trump’s reciprocal tariffs announcement sends a message to markets
President Trump’s 90-day moratorium on reciprocal tariffs has led to a historic rebound (surge) in the New York stock market. The Nasdaq surged by more than 12%! Here’s what economists have to say about what this means and how it will affect the markets going forward.
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TrumpTariffs #NewYorkStocksRise #TradePolicy #NasdaqUp12% #GlobalEconomy #InvestmentStrategy #EconomicAnalysis
📰 1. Trump’s decision
📌 On 9 April 2025, US President Donald Trump announced a 90-day suspension of reciprocal tariffs on all countries except China. During that time, only a 10% base tariff will be imposed.
🚨 However, he has stated that he will impose a high rate tariff of 125% on China, a move that could have significant implications for global supply chains and the US-China conflict.
💬 The announcement was made via Truthsocial (social media), and immediately after the announcement, the New York stock market surged, changing the mood of the market within a day.
*** Translated with www.DeepL.com/Translator (free version) ***
💹 2. Immediate market reaction (spike)
| Index | Fluctuation | Closing Index |
| 📊 Dow | ▲ 7.87% (+2,962.86) | 40,608.45 |
| 📊 S&P 500 | ▲ 9.52% | 5,456.90 |
| 📊 Nasdaq | ▲ 12.16% | 17,124.97 |
📌 Notably, the rebound was one of the largest since the 2008 financial crisis, with trading volumes reaching a record high of over 30 billion shares.
🚀 3. New York stocks leading the way: Big tech’s spectacular return
Leading the rally were the big tech stocks, including Apple, Tesla, and Nvidia.
| Instruments | Rise rate |
| 🍏 Apple | ▲ 15.33% |
| 🚗 Tesla | ▲ 22.60% |
| 💻 Nvidia | ▲ 18.59% |
| 📘 Meta | ▲ 14.55% |
| 📦 Amazon | ▲ 11.98% |
💥 In addition, Trump Media (Truth Social’s parent company), in which President Trump is a majority shareholder, surged 21.67% – a symbolic example of the impact of political messaging on stock prices.
📊 4. Expert analysis: the intent and structural impact of this action
The prevailing interpretation is that the delay is due to financial market instability and pressure from within the Republican Party.
While this is good news for markets, it could be a destabilising factor that makes policy less predictable.
🌏 The aftermath of high rate tariffs on China
- 125% high rate tariffs could spark possible Chinese retaliation
- Could disrupt key supply chains, including semiconductors, batteries, rare earths, etc.
- Medium to long-term impact on Asian emerging markets and global corporate earnings
📌 5. Strategic response from an investor perspective
🧠 ① Rebalancing your portfolio
The rebound in tech stocks is an opportunity, but you should reduce your allocation to China-dependent stocks, and be geographically diversified.
📉 ② Establish a volatility hedging strategy
Excessive market expectations could lead to sharp falls.
Defensive allocations to VIX ETFs, the dollar, gold, and bonds are recommended.
📊 ③ Develop a scenario-specific investment strategy
Separate short-term trading positions from long-term core assets in case of sudden policy changes.
*** Translated with www.DeepL.com/Translator (free version) ***
🔍 6. Bottom line: short-term boon or medium-term risk?
Trump’s announcement has had a positive impact on investor sentiment in the short term, but long-term concerns remain, including political risk, escalating trade wars, and supply chain instability.
✔️ Now is the time to ‘enjoy the rebound, but be prepared for the risks’.
Investors need to increase their sensitivity to political and policy changes, and adopt a neutral view of the market.
📣 Investors need to read the structure, not the news.
Whether this bounce is a temporary shock or a sign of a structural reversal will be determined by market action over the coming weeks.
