We're doing a trade war: It's just not quite as extensive as previously feared.
President Donald Trump announced yesterday, after more market bloodbath, that he would pause the implementation of his reciprocal tariffs (the higher-level ones) for 90 days, but that the 10 percent universal tariffs would remain in place and that tariffs on Chinese products would be raised to 125 percent. Stocks rallied. Goldman Sachs rescinded its recession prediction, which had put "the probability of a downturn at 65% in the next 12 months" per Bloomberg. (Now it's been adjusted to 45 percent.)
"I thought that people were jumping a little bit out of line," Trump said Wednesday. "They were getting yippy—you know, they were getting a little bit yippy, a little bit afraid."
