r/investing • u/ExtentFuture4133 • 3d ago

China retaliates with 34% tariffs on all US products

At the time of writing this Dow futures are losing 1400 points. Apple is down another 4.77% pre-market to $194, as it has 90% of iPhones assembled in China.

S&P 500 futures are down 3.5% and Nasdaq 100 futures down 4%. Us 10 yr at 3.905%. Vix volatility index spikes to 42.82, highest level since Covid

https://www.cnbc.com/2025/04/03/stock-market-today-live-updates.html

It is going to be an interesting day.

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u/Geekenstein 3d ago

By turning it into stagflation?

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u/wheelsonhell 3d ago

If you can't afford to buy anything the economy will definitely cool down.

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u/10EtherealLane 3d ago

Sure the economy will cool down. But prices for all foreign goods will increase. And with reduced competition, domestic goods will increase too. If I have an American business and my competitors are forced to increase prices by 20%, I can increase my prices by 15% and still have the best deal. Inflation is only going to get worse