"Markets Surge as U.S. and China Strike Surprise Tariff Truce — Is a Global Economic Rebound Underway?"
Summary:
In a stunning move that caught investors off guard, the United States and China agreed to a 90-day suspension of mutual tariffs—slashing duties from as high as 145% down to as low as 10%. This unexpected truce sent shockwaves through global markets: U.S. and European stocks rallied, oil prices jumped, and the dollar gained strength while gold slipped. The deal has fueled optimism about a broader recovery and eased fears of a prolonged trade war.
Meanwhile, European equities—particularly German stocks—are outperforming their U.S. counterparts, driven by investor confidence in Europe’s fiscal stimulus plans and defense spending surge. With capital flows potentially shifting from Wall Street to Frankfurt and Paris, is this the beginning of a new economic era?