#TrumpCancelsEUTariffThreat
The market breathed. At a time when any geopolitical noise turns into instant volatility, the retreat from the threat of tariffs against the European Union changes the game in the short term. It’s not just politics; it’s flow, expectation, and pricing.
Tariffs do not only punish trading partners; they distort global supply chains, pressure inflation, and force central banks to react. When this risk is taken off the table, capital goes back to doing what it knows best: seeking efficiency and return. This is why we saw relief in risk assets and a reanchoring of macro expectations.
The key point here is timing reading. It’s not about “victory” or “defeat” diplomatically, but about strategy. In a sensitive year for growth and liquidity, reducing trade friction is buying time, and time, today, is worth money.
Those who understand the market know: political decisions are triggers, not the fundamentals. The fundamentals remain growth, productivity, and inflation control. The rest is noise. And noise, when it disappears, reveals opportunities.
