Tariff Turmoil: Markets Sway as China Vows to Fight and Rumours of Delay Fizzle — Is a Global Deal on the Horizon?

John Hall • April 8, 2025

Markets can’t catch a break— or can they?


Rumours of a tariff delay gave traders a brief sigh of relief… until they were denied. China is digging in, but some say negotiations are coming.


👀 Could this be the turning point, or just more noise?

Key Headlines:

  • 🚫 Reports of a 90-day tariff delay were dismissed as misinformation
  • 💵 US dollar weakens slightly after recent strength as investor mood improves
  • 📰 Tariff headlines remain the main market driver today due to lack of economic data
  • 🇨🇳 China promises to "fight to the end" in trade war with US
  • 💬 Investor Scott Bessent believes the tariff drama is a tactic to push for talks
  • 🌍 Markets are still on edge, but signs of potential negotiation could bring relief

 

Market Recap:

Confusion Over Tariffs Sends Markets on a Bumpy Ride

Markets had another up-and-down day yesterday, mostly reacting to news about tariffs. For a short time, things looked more positive—stocks in the US and Europe even started rising—after a rumour spread that the US might delay new tariffs by 90 days. But that hope didn’t last long. The rumour was denied, and markets quickly dropped again. The US dollar got stronger for the second day in a row, as investors began to think the Federal Reserve might not cut interest rates as much as expected. Meanwhile, the British pound continued to lose value.


 

Market Update:

Tariffs Still in the Driver’s Seat

This morning, the US dollar has given back some of its recent strength, as investors are feeling slightly more positive continuing the mood from yesterday. Since there’s no big economic data being released today, the focus remains on any news about tariffs and trade.

 

Overnight, China made it clear that it’s ready to keep fighting in the ongoing trade dispute with the US. Meanwhile, investor Scott Bessent suggested that although the tariffs are high now, they could start coming down soon as more countries begin negotiations. He expects talks with around 70 nations, with Japan likely to be first in line.


Questions…

  • How do these ongoing trade tensions affect the value of currencies and your financial outlook?
  • Could improving global cooperation bring markets more stability soon?


8th April 2025


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