A More “Targeted” Approach to Tariffs Renews the Risk-On Trade
Equity futures are up with the suggestion of smaller reciprocal tariffs
Highlights
• Equity futures are up with the suggestion of smaller reciprocal tariffs
• European survey data show green shoots
• Diversification looks increasingly prudent…
• … as the 60-40 asset mix and equal-weight index both beat the S&P 500 YTD
Key Takeaways
• Trump Administration Floating Smaller Reciprocal Tariffs: The latest rumblings out of the White House are that the April 2nd launch of the reciprocal tariffs will be far more targeted and less sweeping than initially envisaged (see White House Narrows April 2 Tariffs from today’s WSJ). This revelation has sent U.S. equity futures sharply higher and European stocks up by a further +0.7% here in the early going.
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