On April 2nd of 2025, the United states saw a massive tank in major sectors of its stock market. This was due to president Donald Trumps release of his vast tarriffs which he placed on our trading partners in hopes to even what he and many others view as an imbalance in trade. Considering the United States for several years has relied off of products and food that are imported, the investors lost faith in the Trump administrations plan, ultimately causing them to pull out their investments.

After one month of these tarriffs being in place, this is what we know now,

The 90-day tariff pause announced on April 9 led to a stock market rebound, but uncertainty persists about the policy’s long-term direction. Billionaire investor Bill Ackman warned of an “economic nuclear winter” due to the tariffs, though he later apologized for targeting Commerce Secretary Howard Lutnick. The bond market continues to signal distress, with German bunds emerging as a preferred safe-haven over U.S. Treasuries. It is evident that in the current trends continue, we may enter a period of stagflation such as what occured during President Jimmy Carters term.