As long last, the final curtain has to be unveiled. On March 31, Donald Trump announced on his Air Force One that his large scale tariff plan will be effective on April 2. This is a plan to all countries and not just to the Dirty 15 as announced shortly before. Since everything has been changed after announcement, people are expecting after the Liberation Day, there surely will be certain changes.
Anyway his announcement and plans will be quite horrible and may bring about great impact to Financial Market and Economy.
Some tariff already has be enforced such as steel, aluminum and vehicle, some countries already existing like Canada, Mexico and China. He said that there will be no exemption. Who will believe in it? If you invest $1000 Billion in US like TSMC and surrender the intellectual property freely to America, there would not be any tariff. But other products from Taiwan still have to face the tariff war.
People are worrying it would bring about the greatest recession to US since 1800s, that is shortly after in Declaration of Independence in 1776. So America will go back to 225 years ago.
The list going to announce will be of several hundred pages, it should be read carefully word by word and beware of the turmoil of market. Gold market will be benefited as a safe haven, for stock market most of the time it is running above the 250-SMA, so when it is under it, it’s a good chance for buying in. But better have a buying plan for 6 months.