...So Trump has already back-downed before Xi even lifts the phone?
...Capitulated?
...Navarro/Lutnick camp losing to Bessent/Musk?
BREAKING: The US publishes reciprocal tariff exclusions for computers, smartphones, and chip-making equipment.
TRUMP SAYS EXEMPTING SEMICONDUCTORS FROM HIGHER CHINA TARIFF TRUMP SAYS EXEMPTION IS RETROACTIVE TO APRIL 5 TRUMP: DUTIES SINCE APRIL 5 ON EXCLUDED CHIPS WILL BE REIMBURSED https://x.com/DeItaone/status/1911105746466386277
The US imports over $60 BILLION of smartphones per year. These exemptions cover some of the most crucial imports in another sign of the US conceding in the trade war
...Or is this what it is about?
AAPL someone loaded $4.5M worth of 210/220 call spreads with April 25th expiry on Friday. Then we have tariff exemption announcement over the weekend . Someone knew!! https://x.com/MrDarkghost/status/1911066505778962772
...Or the big tech bosses bought dinner at Mars-a-Largo?
This is where tariffs really go bad as it becomes a jockey for special favors and lobbyists and the small business has no pull. https://x.com/pboockvar/status/1911049964702122234
...But no one is expecting Xi to give any exemptions
...So tariffs on phones limited to 10% while textiles and some naturally grown food items (not grown in America) and even phone manufacturing components are still subject to 145%?
...Its a BIG MESS that Trump has created, and created for himself.
Breaking: WSJ calls for Impeachment of Trump. ‘It’s already in the cards’: Trump impeachment urged by WSJ editorial board member https://x.com/JamesFLoveIV/status/1911057251688685907
...His shoot first and regret later action shows that this President's agenda for tariffs is not carefully thought out and now coming back to bite him. I expect some heads will roll soon to deflect blame.
...Shambles and Chaos, the bigger question is whether the damage is done as far as confidence and credibility in the US, while the tariff revenues that Trump 2.0 had hoped to gain is fast diminishing to nothing significant (enough for the large tax cuts they had planned).
People are going to chase this headline hard come Sunday night and into Monday. Equities are likely to rip higher, and the vol sellers will come out in full force.
But then the cold reality will set in—this isn’t the same market regime. The reflexive bid that used to drive equities higher is no longer there. Why?
Because the fuel has been drained. Excess margin has been eroded by recent volatility. Growth expectations will continue to be slashed as global trade remains under pressure from Trump’s policies. And the appetite for U.S. equities? It’s evaporating.
Foreign investor confidence has been shaken by the unpredictability and recklessness of these policy shifts. This is another round of headline-driven musical chairs—nothing more than exit liquidity for smart money that understands the regime has changed.
The problem is, too many are still trying to fight that idea because they’ve been conditioned by years of the old playbook. So yes, dance, my fellow traders. That’s how we get paid. But don’t stay too long at this party.
When the music stops and the doors swing open, someone’s getting dragged out in cuffs.
...as I opined earlier, Trump will stop the S&P500 in its tracks from entering bear market territory...the tariff related correction is probably done now BUT after a knee-jerk rebound (which provides a final window to sell into strength), am expecting markets to turn to US & global economic damage concerns. Assuming of course that this latest backtrack will be sufficient to settle down the bond market. Except that the source of the bond market dislocation possibly stems from outside of the US, that the US may not be able to control.
