Stock market surges after Trump announces pause in tariffs

President Donald Trump announced a 90-day pause for tariffs after a week of devastating volatility in the stock market since he announced the economic sanctions.

The stock market saw a loss in valuation of about $10 trillion in a week, but the president relented and announced the pause on social media. The tariff on China is to increase in response to that country's retaliatory tariff, however.

'I have authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff.'

"Based on the lack of respect that China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately," wrote Trump on Truth Social.

The president was locked in a trade war with China, which had responded with a 34% tariff on imports from the U.S. Trump initially hit China with more tariffs to total about 104%. China refused to acquiesce, leading to Trump's newest tariff imposition.

He went on to say that because so many countries had sought a deal, he would pause most tariffs for 90 days.

"Conversely, and based on the fact that more than 75 Countries have called Representatives of the United States, including the Departments of Commerce, Treasury, and the USTR, to negotiate a solution to the subjects being discussed relative to Trade, Trade Barriers, Tariffs, Currency Manipulation, and Non Monetary Tariffs," he continued, "and that these Countries have not, at my strong suggestion, retaliated in any way, shape, or form against the United States, I have authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately."

The market responded immediately to the pause, with the Dow Jones Industrial Average gaining 6%, the S&P 500 gaining 7.2%, and the Nasdaq index jumping by 9%.

"At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable," the president concluded.

Like Blaze News? Bypass the censors, sign up for our newsletters, and get stories like this direct to your inbox. Sign up here!