Global Markets Show Signs of Relief as Trade War Fears Ease.
US stock futures rose on Tuesday as China's careful response to President Donald Trump's tariff hike eased market nerves over the prospect of a deepening trade war. The measures, including fresh 25% tariffs on Canada and Mexico, and a doubling in China duties to 20%, were signed into effect at midnight ET on Monday. Relief followed Beijing's response, seen as less aggressive than feared and leaving room for negotiation with Trump.
- As markets breathe a sigh of relief, investors are left wondering whether this temporary reprieve will be enough to reset the global economy, or if deeper structural issues will continue to simmer beneath the surface.
- How will the ongoing trade tensions impact the global supply chains that have been crippled by COVID-19, and what long-term consequences can we expect for businesses and consumers alike?