President Trump just pulled his foot off the tariff gas pedal. After rattling markets with sweeping 10% duties earlier this month, he now says he “may want to go to less,” suggesting a rethink amid growing fears that higher prices would choke consumer demand. While the 10% levy still stands, the tone has shifted. This isn't about backing down—it's about not pushing too far, too fast. Markets took that as a welcome breather. Investors have been on edge since the April 2 escalation, and this latest signal hints we might not see another round of blanket tariff hikes.
But don't confuse calm with resolution. Trump confirmed tariffs on Chinese goods are now running up to 145%, after Beijing's measured retaliation. China, in turn, says it won't play the “numbers game” any further—suggesting both sides are testing pressure without wanting to blow things up. While formal negotiations remain thin, there are signs of quiet communication. Trump says China's “been in touch,” but didn't elaborate. That vagueness tells us what we already suspect: this is political posturing wrapped in economic risk. Still, any sign of restraint in the current climate is market-moving.
Meanwhile, TikTok's future just got punted. Trump acknowledged there's a deal on the table to carve out the U.S. assets of ByteDance's short-form video app, used by 170 million Americans. But that deal is now frozen—“subject to China,” he said—until trade talks progress. Translation: TikTok is now a high-stakes bargaining chip. For investors watching tech exposure—from Nvidia (NVDA, Financial) to Tesla (TSLA, Financial)—the delay adds a layer of geopolitical risk. It's no longer just about user data or divestment. It's about leverage, and TikTok just became part of a bigger chessboard.
