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Trump ratchets up tariff threats, but investors bet he will back off

By: odaily.com|2025/07/10 14:21:39

Odaily News Trump has stepped up his tariff threats, but the market has become desensitized and investors are betting that Trump will always back down. Trumps latest tariff move brings his tariff levels closer to the high tariffs he announced on dozens of US trading partners in early April than some analysts expected. But the initial so-called reciprocal tariffs were postponed and renegotiated after the stock market plummeted; Trump then postponed the tariffs from July 9 to August. However, investors are paying far less attention to the current presidents threats than his early remarks, betting that he will eventually abandon tariffs that could severely damage US growth. The deal is known in the market as TACO - an abbreviation for Trump Always Chickens Out. (Jinshi)

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