No. of Recommendations: 7
The market spiked today on word that we've reached an agreement to back off tariffs on Chinese goods for 90 days, to 30%, down from 145%. China will be putting 10% on US imports, down from 125%.
From what I read earlier, 30% is probably low enough that a lot of trade will resume, which is an improvement over the near embargo levels of tariffs we had on them before. So, a positive reaction from the stock market is to be expected.
However, are 30% tariffs on Chinese goods really a cause for celebration? That amount has got to be disruptive for a lot of businesses on both sides of the pond. It's a ~50% increase over the 19.3% tariffs that were in place under Biden.
With large disruptions all over the country also occurring due to cuts to government staff and services, I feel like we're still on a runway toward a recession. Am I reading it wrong?
