President Trump’s aim to use tariffs to help bring manufacturing back to the U.S. and addressing what he identifies as trade imbalances between the U.S. and the rest of the world is impacting markets. What the current trade and tariffs scenario could mean for investors can be viewed in the broader context of evolving policy and regulatory events, many of which are still unfolding. These include tax reform, immigration, and deregulation, among others. One thing that seems clear regarding the reciprocal tariffs announced on April 2 is that lingering uncertainty around them is the biggest risk. Are they essentially a starting point for negotiations or intended to be long-term? While the economic impact of these potential changes for the U.S. economy is expected to be moderate, market volatility is likely to remain elevated—and the situation remains fluid.
Source: Fidelity Investments
Investment advisory services offered through Rehmann Wealth, a Registered Investment Advisor. Securities offered through Rehmann Financial Network, LLC, member FINRA/SIPC. Rehmann Wealth and Rehmann Financial Network, LLC are not affilliated with Fidelity Investments.