Suzanne McGee
New York (Reuters) -A investors signed a tariff on Saturday after signing an administrative order of its maximum trading partners. Investors are putting pressure on the profit and inflation of US companies, and putting pressure on the pressure of inflation. Prepare foreign import taxes higher.
The president’s administrative order imposed a 25 % tariff on goods from Mexico and Canada, and imported 10 % from China. The White House described it as a “tentative plan” so that these plans to take effect at 12:01 am on Tuesday.
On Friday, Trump said that the three countries could not stop tariffs, although he did improve the prospect of exemption from Canada. Tariffs include 10 % tax for all Canadian energy supply imported from the United States.
Mark Malek, the chief investment officer of Siebe Financial, New York, said: “I do think the market will react to this.” “So far, the market has indeed been around Trump, but this may change, the market may be the first time for the first time in the market. Challenge him “
With the leakage of details about details on Saturday afternoon, some investors still complain that the process may be the marginality of the White House until the tariffs start to collect from the importers. The president has space for the president to go back to his space plan.
“Rick Meckler, a partner of Cherry Lane Investments, New Jersey, said:” With any delay in implementation, some views will still be the strategy of negotiations. “
After the inauguration ceremony, Trump set up the deadline for Saturday to levy tariffs, unless Mexico and Canada suspended illegal immigrants and deadly opioids into the United States.
Barclays strategists have previously estimated that tariffs may be dragged down by 2.8 % of the company’s revenue of the S & P 500 index, including the expected consequences of retaliated measures from target countries.
If the state affected by the country seek revenge, the administrative order includes the regulations of Trump to increase the scale and scope of tariffs.
Goldman Sachs economist estimates that the comprehensive tariffs between Canada and Mexico means that the core inflation rate increases by 0.7 %, while the GDP is 0.4 %.
For investors, the potential for increasing consumer prices is a particularly sensitive area. They are worried that the revival of inflation has led the Fed to stop reducing interest rates. The Central Bank of the United States suspended the cycle of tax reduction last week, and the Fed Chairman Jerome Powell said officials are “waiting for what policies are waiting to formulate with the new president.”
