Bassanese Bites: Take & Give – April 28 2025
Global markets
Global stocks rebounded last week, driven by hopes that President Trump may reduce the 145% tariff imposed on China.
Over the last fortnight, financial markets have been driven by shifts in President Trump’s economic policies. Threats like tariff hikes and intentional meddling with the Federal Reserve dampen optimism – only for partial policy reversals to restore some of it.
Markets were buoyed last week by suggestions that Trump might not increase Chinese tariffs by as much as first thought. For its part, China maintains that trade talks are not underway. Having also complained about Fed policy, namely that Chair Jerome Powell is too slow in cutting interest rates, Trump admitted he had no plans to sack Powell before his term ends next year.
As it stands, markets remain in a state of flux. After all, the key question remains: is Trump as ‘crazy’ as he seems or will he ultimately relent before his tariff plans push the economy into recession?
