[Canada Lahoo.ca - Summary by Sansan] It's really sudden! Just now, the White House of the United States made a concession!

U.S. President Donald Trump said on Wednesday that he has "authorized" a 90-day suspension of tariffs on all countries except China, effective immediately.

(Image source: NBC News)

U.S. Treasury Secretary Scott Beasant said that U.S. President Donald Trump may decide to cancel global tariffs, and the suspension will provide time for negotiating new trade agreements.

Beasant said that the suspension is due to "handling issues." He also stated that solutions for each country will be "tailored," and Trump hopes to personally participate in every negotiation.

After Trump announced a 90-day suspension of implementing new reciprocal tariffs, Beasant told reporters at the White House: "He needs a lot of courage, a great deal of courage to persist until now."

(Image source: CNN News)

For Canada and Mexico, other existing tariffs will be reduced to 10%, but there is currently no specific explanation on how it will be implemented. Canadian Minister of International Trade Dominique Leblanc has contacted U.S. Commerce Secretary Howard Lutnick to seek clarification on Trump's latest tariff measures.

Beasant said that the U.S. government hopes that countries will present the best agreements to the president during the process of readjusting global trade.

After this press conference, U.S. stock market indexes surged dramatically. The Dow Jones Index soared over 2,300 points, with a 6.2% increase. The S&P 500 Index rose by 7%. The Nasdaq Index, which has a higher proportion of technology stocks, surged by 8.5%.

Technology stocks such as Apple (AAPL), NVIDIA (NVDA), and Tesla (TSLA) all surged more than 6%, indicating that investors may be buying at low prices.

(Image source: CNN)

Previously, the S&P 500 Index had been on the verge of a bear market, rapidly declining nearly 20% from its historical high on February 19th, just seven weeks ago.

Really unbelievable...

However, experts remain pessimistic about the U.S. economy. Joe Brusuelas, chief economist at consulting firm RSM US, said that President Donald Trump's sudden change in the tariff system might be good news for investors, but it may not prevent a recession.

RSM US has raised the probability of a U.S. economic recession from 20% to 55%. Brusuelas said that a recession is likely to occur this quarter.

"According to some anecdotal discussions I have had with clients, many of them will choose to leave their products at the docks—they do not have enough cash reserves to pay taxes," he said. "Therefore, we will see the entire economic chaos triggered by negative supply shocks."

In addition to the 90-day suspension period, Trump also stated that the comprehensive tariff of 10% will remain unchanged.

Source: CNN, NBC, CTV News

Original article: https://www.toutiao.com/article/7491411442009113126/

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