Trump's threatened tariffs are so large that 10% feel relief

There was a mantra that spread under tired executives who have resigned with the tariffs of President Trump, while they still hope to avoid the worst of their effects: ten percent are the new zero.

The explanation refers to the 10 percent tariff that Mr. Trump introduced from most US imports a month ago. Such a clear increase in US tariffs would have been unthinkable a few years ago. But it doesn't seem to be such a big thing compared to the really big tariffs that Mr. Trump has already imposed or threatened elsewhere.

Mr. Trump's announcement of the “liberation day” on April 2, he planned tariffs of 10 to 60 percent to dozens of the trading partners of America, triggered a route on the bond markets and a flight from the US dollar when investors were panicked when investors panic. Mr. Trump also used the tariffs in China to at least 145 percent in the middle of a trade in Beijing and brought a large part of the trade between the countries to stand.

Mr. Trump's impulses seems to have moderated this turbulence. The president quickly paused the tariffs in most countries and gave them 90 days to negotiate trade agreements instead.

Mr. Trump also gave a lucrative liberation from China tariffs for makers of electronics and offered only a limited relief to car manufacturers. And he indicated that he could do more and said he likes being “flexible”.

Investors have signs of good news, even not tons. The stock markets have now regained almost all losses that they have provided after April 2 by the comments of the Trump administrative officials that they work to complete trade agreements with allies and look for an opening to negotiate with China.