La Française: Market Flash – Market reactions following the American customs duties
After finally carrying out his threats by imposing highly significant tariffs on the majority of global economies, Donald Trump announced yesterday evening a 90-day truce to allow for negotiations to take place.24.04.2025 | 06:25 Uhr
However, not all tariffs have been lifted: 10% remain applied to almost all imports from the United States, and the same applies to certain specific measures previously adopted, particularly on automobiles.
The American president had been very explicit about his inflexibility and the persistence of tariffs, but it seems that market turbulence and growing opposition within his own party have led him to show more flexibility. Importantly, China receives specific treatment as not only are the tariffs not suspended, but they have once again been increased and now stand at 125%.
The market rebound is very significant at the time of writing and reflects investors' relief regarding the risk of an impending recession. Yet not everything is resolved, and the impact on the economic cycle will nonetheless not be negligible: