In a dramatic and unexpected policy reversal, President Trump slashed tariffs to 10% for most nations while unleashing a punishing 125% levy on Chinese imports. The move sparked a historic surge in U.S. markets—Dow up 2,280 points, S&P 500 by 7%, and NASDAQ by 9.4%—led by AI and tech stocks rebounding with force. However, the sharp escalation against China sent shockwaves through global trade networks. Trump’s 90-day window for bilateral negotiations has created a race against time, as over 75 nations rush to Washington seeking favorable trade terms. While investors cheered the easing of global tariff pressure, the unresolved U.S.-China trade war casts a dark shadow over future stability. Companies like Walmart and Delta urged caution, citing volatility and uncertainty. As the world watches, Trump’s bold gamble could redefine economic alliances or trigger deeper global rifts.
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