Let’s just call this what it is. Capitulation day.
We went through 6 weeks of financial chaos essentially for nothing.
It will also set the tone for rest of the deals we must negotiate which means we will get little tweaks in trade agreements.
What a waste of time pic.twitter.com/m3urPjqB4p
— QE Infinity (@StealthQE4) May 12, 2025
We have a deal, but tariffs will go up without a deal, so we haven’t a deal until we deal with the deal 😂😂😂
This is a big deal 😂😅 https://t.co/6i4l2pLCf9
— The Great Martis (@great_martis) May 12, 2025
Donald Trump will inevitably claim Monday’s temporary truce in the US-China trade war as a victory, but financial markets seem to have read it for what it is – a capitulation.
Stocks were up and bond yields were higher after the US treasury secretary Scott Bessent’s early morning press conference in Geneva, where he has been holding talks with China.
As with the UK “trade deal” last week, the US is not reverting to the status quo before Trump arrived in the White House.
https://finance.yahoo.com/news/trump-might-claim-china-tariff-115613210.html
Agreed. The Administration will also likely continue to face large trade deficits, which is indeed an enormous socioeconomic problem in need of a fix (but by controlling inflation, not with a haphazard tariff policy) and was a core issue on which they made promises to voters. pic.twitter.com/b6nBfoLq3a
— David Sommers (@dgsommersmkts) May 12, 2025
Breaking: In talking to sources who run small businesses the pause w China came just as their companies were on the precipice of disaster since they source so much of their material from China and the containers coming from China were coming back empty. If you want to know why we…
— Charles Gasparino (@CGasparino) May 12, 2025
SoftBank, OpenAI’s $100B investment in the US delayed due to tariffs- Bloomberg
— TT3 (@TradingThomas3) May 12, 2025