The Trump Tariffs have rattled all of the financial markets
Posted By RichC on April 3, 2025
Although I have a personal opinion on just how trade between countries “should” function (free trade), I also realize there’s really no such thing in the real world. There are those who believe companies in the United States end up holding the short straw when exporting their products overseas … due to a variety of tariffs, taxes, government subsidies and protective trade practices. In most cases, those protectionist practices are understandable as every country wants to be as self-sufficient as possible.
That said, all of us who live in the U.S. (especially midwest) recognize just how much of our industrial base and factories are now overseas. COVID shortages made this shockingly clear and yet little has been done to revitalize necessary industry. President Trump in part was elected by blue-collar Americans in the hope he would be able to restore and re-shore the jobs that have been off-shored for decades. His use of tariffs are of obviously controversial, but few opposing them have answers when it comes to bringing back vital industry and loss jobs.
Stocks Plunge, Dollar Sinks After Trump’s Tariffs Blitz
Nasdaq slides 5%, S&P tumbles 4%; Dow industrials plummet 1,600 points
U.S. markets slid Thursday in their steepest decline in more than two years, as investors grappled with the threat that President Trump’s new tariff plan will trigger global retaliation and hurt the economy.
Major stock indexes dropped as much as 6%. Stocks have lost roughly $2.7 trillion in market value Thursday, on track for their largest decline since March 2020.
The Dow industrials dropped about 1600 points, or 3.9%. The tech-heavy Nasdaq, which powered the market higher for years, was down 6%, led by big declines in Nvidia, Apple and Amazon.com. If the S&P and Nasdaq close at current levels, it will be the biggest percentage declines since the early days of the Covid-19 pandemic.
As an American who dislikes “taxes” and big government … I’m still hoping that the use of tariffs will eventually work. The pain for those who invest has been felt today and the Trump Administration said, “expect short term pain for long term gain.”
Comments