Trump said, “What a day,” adding that more good days are ahead.
President Donald Trump said he will temporarily reduce the high tariffs he recently imposed on many countries — but this won’t apply to China. Treasury Secretary Scott Bessent explained that the tariffs were a smart strategy to bring other countries to negotiate, and this 90-day pause is part of that plan.
The decision came just a day after new tariffs began and followed a period of financial market instability. The market drop, which reminded many of the early COVID-19 crisis, seemed to catch Trump’s attention. He said people were overreacting and needed to calm down.
Since returning to the presidency in January, Trump has often made strong trade threats, only to reverse them later. This unpredictable pattern has confused other countries and worried business leaders, who say it makes it hard to plan for the future.
The 90-day tariff pause does not apply to Canada and Mexico, nor does it cover tariffs on autos, steel, and aluminum. The 25% tariff on non-USMCA trade with these countries will remain in effect, reports Reuters.
The U.S. stock market saw a major rally after he announced a 90-day pause on tariffs for most countries. The Dow rose 2,962 points (7.8%), the S&P 500 jumped 9.5%, and the Nasdaq surged 12.16%—one of the biggest gains since World War II.
In total, the market gained $5.5 trillion in value.
U.S. stock exchanges saw a record-breaking volume on Wednesday, with around 30 billion shares changing hands—the highest single-day total in nearly 17 years, based on Bloomberg data.
