This report is from today’s TNC’s Daily Open, our international markets update. TNC Daily Open keeps investors informed on everything they need to know, no matter where they are.
President Donald Trump of the United States has imposed country-specific, broadly reciprocal, sector-specific tariffs that only apply to nations with certain trade relationships with one another.
Additionally, as he stated on Friday, he has been “flexible” in implementing them, allowing for last-minute pauses, exceptions to items covered by trade agreements, and even reprieve for all tariffs.
Trump’s suggestion that nations would receive a “break” from reciprocal tariffs propelled Monday’s market rally. However, considering the erratic implementation of Trump tariffs and their wild fluctuations, it is unlikely to be a long-term upward trend.
To predict the future of stocks, strategists frequently examine technical characteristics in their movements, such as their 200-day moving average. In this political era, it could be more beneficial to direct such attention onto Trump, who has occasionally made statements that have caused markets to rise and fall.
What To Note Today
Trump’s new tariffs again
At a Cabinet meeting earlier Monday, U.S. President Donald Trump declared that he would soon impose tariffs on industries such as pharmaceuticals, cars, and others. Later that day, at a White House event, he added the semiconductor and timber sectors to his list. On Monday, Trump also announced that the United States would levy 25% tariffs on nations that purchase petrol and oil from Venezuela.
Potential tariff “breaks”
At a White House event on Monday, Trump stated that he “may give a lot of countries breaks” on the reciprocal tariffs, which are scheduled to go into effect on April 2, even though he had previously stated that he would slap duties on industries. Trump first responded, “Yeah, it’s going to be everything,” before clarifying that “not all tariffs are included that day” in response to whether sectoral tariffs will also begin that day.
US stocks soar
Relief that Trump tariffs would not be as harsh as anticipated caused U.S. equities to soar Monday. The Dow Jones Industrial Average increased by 1.42%, the S&P 500 by 1.76%, and the Nasdaq Composite by 2.27%. Tesla’s stock surged 11.9%, becoming the company’s highest day since November 6, 2024. Tuesday’s Asia-Pacific markets were erratic. According to LSEG statistics, the 5-year government bond rates reached 1.165%, the highest level since October 2008, and Japan’s Nikkei 225 rose almost 0.5%. However, the Hang Seng Index in Hong Kong dropped more than 2%.
Samsung Electronics Co-CEO passed away
Samsung Electronics, based in South Korea, announced on Tuesday that Han Jong-hee, its 63-year-old co-CEO, had passed away from a heart attack. Han served as the chief of Samsung’s device experience unit and digital appliances division, encompassing home appliances and mobile phones. According to the corporation, Jun Young-hyun, who was named co-CEO in November last year, will be the only CEO.
Rebounding markets: Goldman
The market is gloomy since the S&P 500 has fallen four of the last five weeks, and there is still uncertainty around Trump’s tariff proposals. However, Goldman Sachs believes that the market is ready for a contrarian rebound due to the pessimistic sentiment, and the investment bank has evidence from its indicator to support this claim.
Other Updates
Farmers and ocean carriers worry that the United States is not ready to prevail in an economic fight against containerships manufactured in China.
Proposals being discussed by the U.S. administration to impose heavy fines on Chinese-made containerships when they call on U.S. ports have warned of serious economic harm to U.S. farmers and international ocean carriers.
They claim that the objective of reintroducing shipbuilding to the United States is incompatible with the reality of the global ocean trade market, where ships built in China would soon carry almost all container traffic.
“As ocean carriers cut back on U.S. port calls, the ports of Halifax, Montreal, Prince Rupert, and Vancouver would be receiving more containers,” Sea-Intelligence CEO Alan Murphy told CNBC. He said smaller ports like Jacksonville, Tampa, and Oakland would suffer.
