Global Markets Brace for Fallout From Trump Tariffs
Published On Feb 2, 2025, 8:08 PM
Asian markets dropped sharply as concerns arose over new tariffs imposed by President Trump on Canada, Mexico, and China. This move is expected to disrupt global supply chains, particularly impacting Japanese auto manufacturers who have heavily invested in North America. Additionally, the semiconductor industry faced declines, with Taiwan Semiconductor Manufacturing Company also down over 5%. The potential for retaliatory tariffs from Canada and Mexico has heightened fears of a trade war, which could rekindle inflation. Market volatility is anticipated as investors react to this newly escalated trade tension.
Stock Forecasts
TM
Negative
The trade tensions and potential retaliatory tariffs from Canada and Mexico are likely to adversely impact the stock prices of major auto manufacturers and semiconductor companies that have significant exposure to North American markets.
TSM
Negative
As the tariffs increase the cost of trade, companies like Taiwan Semiconductor and Japanese auto manufacturers that depend on exports to North America are expected to see a decline in business, hence the downward trend in their stock values.
Related News
High Stakes for Global Companies in Trump’s Latest Tariff Threats
Jan 31, 2025, 5:01 AM
Manufacturers from Asia, Europe and elsewhere have poured billions into North American supply chains that could be hit by new taxes on Mexico, Canada and China.
Stock market today: Nasdaq slide leads stocks lower with earnings, Bessent confirmation hearing in focus
Jan 16, 2025, 4:50 PM
Stocks failed to continue Wednesday's rally as retail sales and fresh earnings from big banks took focus.
Stock market today: Nasdaq slide leads stocks lower with earnings, Bessent confirmation hearing in focus
Jan 16, 2025, 4:50 PM
Stocks failed to continue Wednesday's rally as retail sales and fresh earnings from big banks took focus.