To The Moon

Wall Street Surges on Tariff Pause; Hong Kong Stocks Rebound After U.S. Tariff Implementation

🇺🇸 S&P 500 Index: 9.52% 📈

🇺🇸 Nasdaq Index: 12.16% 📈

🇪🇺 STOXX 600 Index: -3.49% 📉

🇯🇵 Nikkei 225 Index: -3.93% 📉

🇭🇰 Hang Seng Index: 0.68% 📈

🇨🇳 CSI 300 Index: 0.99% 📈

🇸🇬 Straits Times Index: -2.18% 📉

U.S. stocks saw a sharp rally, with the S&P 500 and Nasdaq Composite jumping 9.5% and 12.2% respectively, after President Trump announced a 90-day suspension of reciprocal tariffs for all countries except China.

Asia-Pacific markets mostly rose as well. The Hang Seng Index and CSI 300 gained 0.7% and 1.0% respectively, on expectations that after U.S. tariffs on China took effect, Beijing would ramp up support for the market and the economy.

Upcoming Events:

On Thursday, investors will watch for several key data releases: the U.S. Federal Reserve minutes, annual inflation rate, and initial jobless claims; China will also release its annual inflation rate.

On Friday, the week will wrap up with the University of Michigan's preliminary Consumer Sentiment Index.

Things to Know Today:

1. President Trump announced a 90-day suspension on most tariff hikes but raised tariffs on Chinese goods to 125%, while restoring tariffs on the EU, Canada, and others to a baseline of 10%.

2. Trump plans to impose a new round of tariffs on pharmaceuticals to boost domestic production. This led to a sharp selloff in European healthcare stocks, with AstraZeneca $AstraZeneca PLC(AZN)$  , Novo Nordisk $Novo-Nordisk A/S(NVO)$  , and Roche $Roche Holding Ltd(RHHBY)$   falling as much as 7%.

Pharmaceutical tariffs

3. The Federal Reserve's meeting minutes revealed increasing concerns among policymakers about persistent inflation and slowing growth, with tougher choices ahead amid growing tariff uncertainty.

US Federal Reserve

4. The EU approved retaliatory tariffs on €21 billion worth of U.S. goods, including soybeans and motorcycles, in response to U.S. steel $U.S. Steel(X)$  and aluminum tariffs. The move affects €380 billion in EU exports. Despite stalled negotiations, the EU remains open to talks.

EU tariff retaliation

5. China announced that starting April 10, it will impose tariffs on all U.S. imports, raising the total rate to 84% in response to the U.S.'s already implemented 104% tariffs—marking an escalation in the trade war.

China VS US

Key Takeaway:

While the tariff pause offers some short-term relief, it doesn't signal an all-clear for aggressive buying. Market uncertainty remains high. Investors should focus on high-quality assets, maintain a long-term view, and selectively invest in undervalued companies with resilience.

@Daily_Discussion  @TigerStars  @Tiger_comments  @TigerGPT