- Trump announces new tariffs on copper and pharmaceuticals.
- China’s producer prices plunged in June.
- U.S. stocks were mostly unchanged.
- South Korea and Japan’s economies could shrink further.
- Retail investors outperformed fund managers.
U.S. President Donald Trump announced Tuesday that copper and pharmaceutical imports will face tariffs of 50% and as high as 200%, respectively.
Stream San Diego News for free, 24/7, wherever you are with NBC 7.
Following the news, the S&P 500, which hit multiple record closes last week, ground to a halt and closed mostly flat.
That said, it’s a muted response for such hefty tariffs, suggesting investors are either brushing off Trump’s tariffs as hollow threats, or discounting the effects they could have on inflation and the economy.
Get top local San Diego stories delivered to you every morning with our News Headlines newsletter.
Such complacency could be a mistake, as some market watchers have
cautioned
. It also mirrors the White House’s stance on the effects of tariffs, which might not be a position investors want to take.
On Tuesday, Stephen Miran, chairman of Trump’s Council of Economic Advisers, told CNBC’s ”
Squawk Box
” that the odds of tariffs leading to higher prices is a “rare event” like ”
pandemics or, or meteors or whatever
.”
“I don’t mean to be dismissive,” Miran clarified. “All I mean to say is that prediction is difficult, and we should always speak in terms of odds and possibilities.”
Money Report
UK Exchange newsletter: All aboard? A new crisis looms over Britain’s troubled rail system
European stocks set to open in mixed territory as markets digest Trump tariff comments
For the record, there’s a 0.004% chance of an asteroid that will fly near Earth in 2023 striking our planet, according to
NBC News
.
New tariffs on copper and pharmaceuticals.
Copper imports will attract a 50% duty
while that of pharmaceuticals will be subject to
tariffs as high as 200%
, Trump said Tuesday. He didn’t specify when they would take effect, but said the latter might kick in within a year and half.
China’s producer prices plunged in June.
The
wholesale price index fell 3.6%
from a year earlier, its largest decline in nearly two years. But consumer prices in June staged an early recovery, inching up 0.1% from the same period last year.
South Korea and Japan’s economies could shrink further.
First-quarter gross domestic product of both countries contracted from the previous three months — and could
experience steeper falls
in the months ahead because of
Trump’s
newly unleashed tariffs
.
U.S. stocks were mostly unchanged.
On Tuesday, the
S&P 500
and
Nasdaq Composite
closed around the flatline
, while the
Dow Jones Industrial Average
slipped 0.37%.
Asia-Pacific markets traded mixed Wednesday
.
[PRO] Retail investors outperformed fund managers.
Robinhood’s CEO told CNBC that the institutional players which spent weeks after Trump’s “liberation day” seeking safe havens lost out to
retail investors who stuck with a simple strategy
.
Global stock markets’ best and worst performers in a Trump-fueled 2025 — and where they’re headed
Global stocks have surged in the first half of 2025, even as U.S. President Donald Trump announced steep tariffs on imports to the United States. The MSCI All Country World Index, which measures the performance of more than 2,500 stocks from both developed and emerging market equities, rose nearly 10% since the start of the year to hit a record high on July 4.
“The global trade war that the U.S. started has been, and will continue to be, the catalyst for this ex-U.S. outperformance,” said Peter Boockvar, chief investment officer at Bleakley Financial Group.
— Lee Ying Shan
Also on CNBC
-
To bet on a meteor strike, or tariff-driven inflation?
-
Tariff letters from Trump, like those of lovers, seem to signify little
-
Trump’s tariff letters set the heart racing, but don’t seem to promise anything new
