Jim Cramer criticizes President Trump's new tariffs on Chinese imports, calling them an effective embargo due to their 145% cumulative rate. He argues that most businesses won't absorb such a markup, leading to economic disruption and inflation. The stock market plummeted on the news, with the S&P 500,...
US inflation dipped to 2.4% in March, the lowest since September, driven by falling gas, airfare, and hotel costs. Core inflation also decreased to 2.8%. However, economists warn this is backward-looking and that President Trump's tariffs, though partially paused, will likely boost inflation in the coming months. The...
Bond market turmoil forced a pause in Trump administration tariff negotiations. The S&P 500 neared a bear market before a two-day bond market downturn prompted a rethink. While the stock market rebounded, the bond market remained cautious. JPMorgan's analysis shows significant but not catastrophic market stress, less severe...
Amidst escalating US-China trade tensions and high tariffs, China aims to boost domestic consumption to offset export losses. Despite a sluggish post-pandemic recovery, high youth unemployment, and falling home prices, the Chinese government is urging increased consumer spending to drive economic growth. This strategy, highlighted in People's Daily,...
U.S. consumer price inflation unexpectedly fell in March, dropping to 2.4% year-on-year from 2.8% in February. The decline, exceeding market expectations, was driven by lower energy prices, particularly gasoline. Core inflation, excluding food and energy, also decreased to 2.8%, its lowest since March 2021. While food prices increased,...
President Trump's tariff actions caused a significant sell-off in US government bonds and the dollar, raising concerns about the safety of these assets during market turmoil. Yields on 10-year Treasuries whipsawed, rising sharply then falling slightly to 4.35%, while 30-year bond yields reached 4.74%. Short-term bond yields also...
Rising mortgage rates are fueled by investors selling U.S. Treasury bonds, potentially exacerbated by foreign countries, particularly China, offloading agency mortgage-backed securities (MBS) in response to U.S. trade policies. China's MBS holdings have already decreased significantly. This, combined with the Federal Reserve's MBS portfolio reduction and weakening consumer...
President Trump's claims about US-China trade and tariffs are being fact-checked. He asserted a $1 trillion trade deficit with China, which is significantly higher than the actual figure of $295 billion in 2024. His claim of Canada imposing a 270% tariff on US dairy products is partially true;...
The International Monetary Fund (IMF) reached a preliminary agreement with Argentina for a $20 billion bailout. This comes as President Javier Milei implements free-market austerity measures to stabilize the economy, reversing previous left-wing policies that led to repeated defaults. The bailout, requiring final board approval, offers a lifeline...
US Treasury Secretary Scott Bessent downplayed China's new retaliatory tariffs on US goods, asserting that the move will ultimately harm China more than the US. Bessent highlighted China's significant trade surplus with the US, stating that China's exports to the US are five times greater than US exports to...
