Why Trump gets away with tariffs

Published On Nov 26, 2024, 2:46 PM

The article discusses how former President Donald Trump is planning to impose significant tariffs on imports from major trading partners like Mexico, Canada, and China after being re-elected. Despite the economic consensus that tariffs raise costs for American consumers and obstruct efficiency, many voters appear unconcerned and may even support these measures. The article highlights several reasons for this disconnect: confusion over what tariffs are, a lack of perceived negative impact during Trump's first term, and Trump's tendency to negotiate by threatening larger tariffs than he ultimately imposes. This situation points to a wider misunderstanding of tariffs and their implications, leaving room for potential economic consequences.

Read full article

Stock Forecasts

SPYView SPY chart on TradingView

Negative

Trump's planned aggressive tariffs could lead to increased costs for various consumer goods, which may negatively impact companies reliant on imports. However, his historical tendency to negotiate down the final tariff rates might mitigate drastic market impacts. Overall, heavy tariffs can stoke inflationary pressures, potentially harming consumer goods companies.

Related News

Stock market today: S&P 500, Dow notch fresh records as Wall Street shrugs off Trump's tariff threat

Nov 26, 2024, 5:43 PM

Investors are assessing the likelihood Trump will deliver on his threat to impose fresh tariffs on China, Canada and Mexico.

SPY
RIVN
AMGN
BBY

Financial expert shares 'one concern' for 2025 market outlook: 'Do we have a resurgence' of this? | Fox Business Video

Dan Niles, founder of Niles Investment Management, comments on President-elect Donald Trump's proposed tariffs on China, Mexico and Canada and shares his 2025 market outlook.

SPY

Tariff Threats Show Trump’s Commitment to Upending Global Trade

Nov 26, 2024, 4:01 PM

The president-elect’s threat to hit Canada, Mexico and China with new tariffs is already rocking business and diplomatic relationships and could topple the trade pacts he signed in his first term.

XLI
CAT
SPY