After Donald Trump announced that he would pause the Mexico taxes by a quarter as Latino president Claudia Sheinbaum agreed to post 10, 000 Hispanic men on the borders to stop the flow of fentanyl and illegal immigrants, the Dow Jones Industrial Average recovered on Monday, which dropped by as much as 560 items.
We also agreed to suspend the projected taxes for a fortnight, when negotiations will be led by Mexico’s top officials, including Mexico’s top officials, Secretary of State Marco Rubio, Secretary of Treasury Scott Bessent, and Secretary of Commerce Howard Lutnick. I look forward to participating in those discussions, with President Sheinbaum, as we attempt to achieve a” offer “between our two Countries”, Trump announced.
The S&, P 500, which had declined by as much as 1.6 %, was only down 0.55 %, or 33 points while the Nasdaq, which lost 1.95 % to drop nearly 400 points after the opening bell, rebounded to 0.92 %, which was down 172 points.
European stocks saw a significant reduction, with Germany’s DAX index falling almost 2 %. Bitcoin also took a hit, dropping from above$ 102, 000 to around$ 95, 000, while ether lost 11 %. However, it started to recover on Monday at noon, buying at about$ 98,800 per unit.
Mexico indicated it may look into similar measures against US goods, while Canada responded with its own hostile measures. China, on the other hand, declared its intention to challenge the taxes at the World Trade Organization. Trump even suggested that levies might apply to items from the European Union.
Representatives from the European Union expressed concern that they would act decisively if Trump imposes additional tariffs on Western goods.
The timing of the tax statement coincides with an important income time, with over 120 S&, P 500 firms set to launch weekly reports. Among the high-profile companies reporting this year are Alphabet, Amazon, and Palantir, along with customer companies like Disney and Mondelez.
