Analysts have expressed mixed feelings over the U.S. 90-day reciprocal tariff for all countries except China.
This is against the backdrop of President Donald Trump’s announcement of tariff reprieve, amidst stock market’s bond investors worry over sell-off in the U.S.
Speaking during global trade virtual session on Thursday, trade experts stated that treasury securities signal deepening concerns about the stability of U.S. Fiscal policy and the reliability of its commitments.
They explained that the policy pronouncement on electronics, including smartphones and semiconductors were initially exempted from 125 per cent tariffs imposed on Chinese imports.
Canadian Prime Minister Mark Carney warned that the 80-year period U.S. embraced global economic leadership, forged alliances rooted in trust, mutual respect, championed free and open exchange of goods and services is over.
According to Carney, Ottawa slapped retaliatory tariffs on all American-made vehicle imports not covered by free trade deals in response.
Japanese Finance Minister Katsunobu Kato noted that close allies refused to play Washington’s tariff‑tug‑of‑war game, saying Japan is holdings U.S. government debt estimated to form bulk of its 1.27 trillion dollars.
”The funds in foreign reserves are managed strictly for monetary policy purposes, not as instruments of foreign policy,” Kato said.
The Eurogroup President Paschal Donohoe said the Euro has a clear path to becoming a dominant global reserve currency.
According to him, domestically, the political calculus surrounding Trump’s tariffs reveals a deepening paradox between his narrative and economic reality.
”While the 90-day tariff reprieve temporarily placated Wall Street financiers and Silicon Valley tech giants, it has left agricultural heartlands and Rust Belt manufacturing hubs mired in uncertainty.
“Low and middle-income Americans will feel the most burdens, as per some who criticise the abrupt and chaotic execution.”
