{"id":838427,"date":"2025-04-02T08:12:10","date_gmt":"2025-04-02T13:12:10","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/04\/02\/market-closes-higher-in-run-up-to-trumps-tariff-announcement\/"},"modified":"2025-04-02T08:12:10","modified_gmt":"2025-04-02T13:12:10","slug":"market-closes-higher-in-run-up-to-trumps-tariff-announcement","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/04\/02\/market-closes-higher-in-run-up-to-trumps-tariff-announcement\/","title":{"rendered":"Market closes higher in run-up to Trump’s tariff announcement"},"content":{"rendered":"
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In This Story<\/h6>\n<\/section>\n

It\u2019s the end of the world as we know it, but investors seem to feel (mostly) fine, judging by the stock market.<\/p>\n

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Suggested Reading<\/h4>\n<\/div>\n
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Costco’s Kirkland brand became a massive financial success. Here’s how<\/p>\n<\/div>\n

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Suggested Reading<\/h4>\n<\/div>\n

Stocks closed mainly higher on Tuesday ahead of an announcement by Donald Trump on Wednesday in which he may unveil immediate tariffs on almost all U.S. trading partners. The S&P 500 ended 0.4% higher, the Nasdaq Composite gained 0.9%, and the Dow Jones Industrial Average shed 11.8 points.<\/p>\n

This muted performance came even as the ISM manufacturing index for March came at 49.0 \u2014 below expectations and indicating a contraction \u2014 with its forward-looking elements pointing to even deeper pessimism, Goldman Sachs (GS<\/a><\/span>) said. The JOLTS job opening number also fell by more than expected.<\/p>\n

Many investors are anticipating that Trump\u2019s press conference will resolve many of the questions surrounding increased import taxes. While markets hate uncertainty, they tend to rally after it\u2019s been resolved, LPL Financial\u2019s (LPLA<\/a><\/span>) strategists wrote in a report.<\/p>\n

\u201cThere will still be trade policy uncertainty after that date, but the Trump administration is expected to clear up some of the biggest questions investors have right now,\u201d they wrote. \u201cWe don\u2019t want to sound too bullish, and we remain cautiously neutral right now, but the opportunity for upside is there.\u201d<\/p>\n

But the Trump administration\u2019s track record gives little reason to believe that April 2 will mark the end to ambiguity on trade, Michael Madowitz, the Roosevelt Institute\u2019s principal economist, told Quartz. Even clarity wouldn\u2019t prevent \u201cscary\u201d escalation scenarios \u2014 which Trump makes more likely with his confrontational stance.<\/p>\n

There\u2019s also the larger question as to whether Trump\u2019s big increases in tariffs are purely a negotiating tactic \u2014 a view many investors and observers still seem to hold \u2014 or are part of a permanent, ideologically driven shift toward protectionism and away from 80 years of a U.S. push for freer trade. <\/p>\n

A major, long-term push to make most U.S. production domestic would take years and involve the deliberate infliction of economic pain, Chris Grisanti, MAI Capital Management\u2019s chief market strategist, told Quartz last month. Costs would jump and stay high for an extended period.<\/p>\n

\u201cThis is taking on a big structural problem, but the question is whether the cure is worse than the disease,\u201d he said. And with many goods now so complicated, with parts sourced worldwide, seeking to move output 100% onshore would be like \u201cunscrambling eggs.\u201d<\/p>\n

Trump\u2019s push away from U.S. foreign policies in place for decades will have long-term economic consequences that may simply be too large<\/a><\/span> for investors to absorb, said Marta Norton, Empower\u2019s chief investment strategist. <\/p>\n

\u201cEven if the tariffs are not as severe as painted, it\u2019s still a sea change,\u201d Norton said. \u201cPeople have a hard time realizing that this a possibility given the state of play for the past couple of decades. It\u2019s so immense that it\u2019s hard to imagine.\u201d However, there\u2019s still a chance the duties will be tactical, she added.<\/p>\n<\/div>\n

Read More<\/a>
\n Josh Fellman<\/p>\n","protected":false},"excerpt":{"rendered":"

In This Story It\u2019s the end of the world as we know it, but investors seem to feel (mostly) fine, judging by the stock market. Suggested Reading Costco’s Kirkland brand became a massive financial success. Here’s how Suggested Reading Stocks closed mainly higher on Tuesday ahead of an announcement by Donald Trump on Wednesday in<\/p>\n","protected":false},"author":1,"featured_media":838428,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[24363,497],"tags":[],"class_list":{"0":"post-838427","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-closes","8":"category-market"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/838427","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=838427"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/838427\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/838428"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=838427"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=838427"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=838427"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}