NEW YORK (Reuters) – U.S. President Donald Trump on Saturday ordered 25% tariffs on Canadian and Mexican imports and 10% on goods from China starting on Tuesday to address a national emergency over fentanyl and illegal aliens entering the U.S., White House officials said.
Here are some comments from strategists and investors:
DUSTIN REID, CHIEF STRATEGIST, FIXED INCOME, MACKENZIE FINANCIAL, TORONTO:
“I think it’s quite negative for equities – they will be sold off, along with other risk assets. If the tariffs are implemented as seems likely now, they will have a very significant impact on price levels in the U.S. very quickly, which also will put a dent in equities and high-beta assets. I think it’s very likely we’ll see reciprocal tariffs announced. I’m assuming that happens as soon as this evening.”
MARK MALEK, CHIEF INVESTMENT OFFICER, SIEBERT FINANCIAL:
“Until now the market has really been on Trump’s side, but this is something where that could change and the market could challenge him for the first time. The unknown will perturb the market, no question about it.”
RICK MECKLER, PARTNER, CHERRY LANE INVESTMENTS, FAMILY INVESTMENT OFFICE, NEW VERNON, NJ
“These generalized tariffs that cover a much wider range of products and are targeted toward social policy have usually proven to be a mistake. I think that’s why the market has looked at this skeptically, and with anxiety, all along. With any delay in implementation, there will be some view that this is still a negotiating ploy.”
“I would expect to see the market rattled by it if it’s signed and issued, in the form we understand it might take.
“A full reaction won’t be reached until it’s clear this is the policy, however.”
(Reporting by Suzanne McGee; compiled by Megan Davies; Editing by Nick Zieminski)
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