US EditionWall Street's 'TACO Trade' Powers Stock Rally as Trump Defers Tariff Threats
- President Trump initially announced plans to implement a 50% tariff on imports from the European Union starting June 1, but postponed the increase until July 9 to facilitate ongoing trade talks.
- Trump's repeated tariff threats and subsequent delays have created the 'TACO trade,' a market pattern named for his tendency to back down after aggressive tariff announcements.
- The tariff policy volatility has caused sharp stock market drops after announcements and rallies when Trump pauses or lowers tariffs, reflecting investor attempts to navigate the uncertainty.
- Trump claimed that without imposing a 50% tariff, EU officials would not have come to the negotiating table, and he described his approach as starting with a very high tariff and gradually lowering it as part of the negotiation process.
- The 'TACO trade' suggests investors should expect market rebounds after Trump's tariff threats and delays, but analysts warn this tactic may lose effectiveness as counterparties grow skeptical.
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CNN Host Claims Trump is ‘Clearly Rattled’ By TACO Nickname
Donald Trump is “clearly rattled” after being confronted with the his new “TACO” nickname during a press conference earlier this week, says CNN’s Erin Burnett. The president had a meltdown on Wednesday after being made aware of the acronym, which stands for “Trump Always Chickens Out.” The term was coined by Wall Street traders due to his habit of repeatedly backing down from his threats. “That’s a nasty question,” he said in response to the rep…
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Total News Sources224
Leaning Left63Leaning Right28Center50Last UpdatedBias Distribution45% Left
Bias Distribution
- 45% of the sources lean Left
45% Left
L 45%
C 35%
R 20%
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