Trump's tariff hike causes stock market decline, concerns about impacts on corporate earnings and recession

From Nasdaq: 2025-04-06 17:15:00

President Donald Trump announced his full plan for tariffs on imports, causing stocks to sink with the S&P 500 and Nasdaq posting their worst performances since 2020. Concerns for investors include potential impacts on corporate earnings and worries of an impending recession. Trump’s tariffs vary by country, with China facing a 54% duty and the European Union facing a 20% duty. The plan includes a 10% baseline tariff on all imports, but a free trade agreement with Mexico, Canada, and the U.S. remains intact. Companies like Costco and Target are prepared to deal with the tariffs through strategic measures. Amazon may benefit from the tariffs by eliminating tariff exemptions on goods from China valued less than $800. Despite challenges, quality consumer goods companies are expected to weather the storm and continue to grow over the long term.



Read more at Nasdaq: What Does Trump’s Tariff Hike Mean for Consumer Goods Investors?