The market was further whipped on Friday in response to the latest comments on tariffs and in response to President Donald Trump’s latest comments on tariffs, according to NBC News.
Speaking in the oval office, Trump said he was uninterested in making exceptions to the broad “fair and reciprocal” obligations that he said would be imposed on April 2nd.
But he nevertheless offered one day of sunlight.
“I’m not the same, but the word flexibility is an important word,” Trump said. “It’s flexible at times, so it’s flexible, but essentially mutual.”
While the president has chosen China and said there is room for “talking” about trade issues with the country, he added that he wanted to mostly meet Chinese President Xi Jinping.
Despite that small profit, it has become clear that the Trump administration has not supported plans to establish drastic trade collections, despite pressure on global GDP, despite these efforts rapidly curtailing US expectations of recent growth.
“All members of the Trump administration are in line with ultimately leveling the American industry and workers’ arena,” White House spokesman Kush Desai said in a statement to NBC News this week. “President Trump has gathered together the best and brightest trading teams in modern American history to rekindle American greatness. They strive to pursue the same playbook, President Trump’s playbook, to bring it to the American people.”
Even if stocks have solidly invaded the territory of correction, it has fallen by more than 10% from recent highs – Trump and other executives have not pushed back the idea that the US economy could join a rough patch as a result of tariff policies. When asked by Fox News host Maria Bartiromo if he was hoping for a recession this year, Trump replied, “I hate to predict such things.”
Of all developments on the Trump administration’s economic policy, the S&P 500 stock price benchmark was set at the fifth straight week without finishing at the level it last saw in September, but reduced its national gross domestic product (GDP) outlook.
The rest of the world is beginning to adjust. The Organization for Economic Cooperation and Development revised its 2025 US GDP forecast from 2.4% to 2.2%, and from 2.1% in 2026 to 1.6%. Global GDP was also revised from 3.3% to 3.1% in 2025 and from 3.3% to 3.0% in 2026.
“Higher trade barriers and increased geopolitical and policy uncertainty in some G20 economies [is] The OECD weighs investments and household expenditures.
Customs duties or duties are taxes on products purchased from overseas and are used in virtually all countries.
And the European Union announced this week that it said delaying retaliation fees for US goods “were not asking to reduce the impact of our response,” in order to allow for “an extra time for discussion with the US administration,” and that “the EU in particular is continuing to prepare for retaliation of up to 260 euros.”
“This approach will provide a solid, proportional, robust, robust and coordinated response to US measures while minimizing potential negative impacts on EU producers and consumers,” an EU spokesperson said.
Earlier this week, the Federal Reserve warned that Trump’s tariffs could impose “temporary” price increases on US consumers and businesses.
“Some short-term measures of inflation expectations have risen recently,” Federal Reserve Chairman Jay Powell said Wednesday. “This has been seen in both market-based and survey-based measures, with survey respondents referring to tariffs as a driver for both consumers and businesses.”
He added that unaddressed tariffs have increased the overall uncertainty of the economy.
Despite the avalanche of threats, Trump has so far implemented only a global 25% tariff on steel and aluminum, along with an additional Chinese tax of 20% in addition to the existing ones. The president has suspended two 25% of his duties on most goods from Canada and Mexico, threatening, but has not carried out, a 200% mission on champagne and wine imports from the European Union.
But on Friday, Trump suggested that all the biggest global trade shakeups would come within two weeks. On April 2nd, the United States attempts to impose a massive trade obligation on all countries that have imposed obligations on US exports. Part of the move Trump said is designed to level the uneven arena of US goods that contribute to the massive annual trade deficit of America.
“April 2 is America’s liberation day!!” he wrote about the true society. “For decades, we have been fooled and abused by all countries in the world, both friends and enemies. Now it is time for good old America to have a portion of that money and pay respect.
In a new memo, Gregory Dako, chief economist for EY-Parthenon consultants, said the economic foundations “have been “good and remains fired,” meaning that tariffs, trade policy confusion and inflation risks will be leaned backwards.”
“A short time ago, American exceptionalism ruled the story. Now the mood has become sharper and pessimistic. What has changed?” Dako said.
He said private sector investigations have been negative in recent weeks “due to broad-based policy uncertainty and tariff implementation.”
“Consumer sentiment is plunging, SMEs’ uncertainty is near record highs, purchasing managers are increasingly downbeat, and consumer inflation expectations are surged.”
A close-up shot?
Right now there is a “increasing stagflation risk” as both price growth and unemployment rates can be higher, he said.
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