"Carmakers in the US rely on Canada and Mexico for more than 80% of imports of some key auto parts...
There’s even US value added embedded in cars imported from Mexico and Canada — so tariffs on these goods mean the US will effectively be tariffing itself." Source: Kevin Gordon @KevRGordon on X, Bloomberg
Nice visual of the Atlanta Fed GDPNow
Source: WinSmart
China's out with some proper fiscal firepower: Highest official deficit target in 30+ years
Plus... CNY1.3 trillion in ultra-long special sovereign bonds CNY4.4 trillion in new special local govt bonds CNY500 billion in special sovereign bonds China on Wednesday set its GDP growth target for 2025 at “around 5%” and laid out stimulus measures to boost its economy amid escalating trade tensions with the U.S. Beijing raised its budget deficit target to “around 4%” of GDP from 3% last year, according to the official report, as the country’s top legislative body held its annual meeting. The 4% deficit would mark the highest on record going back to 2010, according to data accessed via Wind Information. The prior high was 3.6% in 2020, the data showed. Source: Bloomberg, David Ingles on X, CNBC
Make Russia great again? Americans are very pragmatic.
And their banks are always fast to adjust to the new paradigm...
Price has respected this trendline since the bear market lows of 2022...
Seems like an important spot to watch. $QQQ Source. Trend Spider
BREAKING: Tariffs have begun with 25% on Canada and Mexico, and 20% on China.
In fact, tariffs could hit an average of 17.7% under Trump. This would be THE highest levels seen since the Great Depression. Source: Bravos Research @bravosresearch
S&P 500 facing a date with destiny!
$SPX is testing its 200 Day moving average for the first time since November 2023 🚨 Source: Barchart
Short-term pain for long-term gain ???
Trump has mentioned both falling bond yields and a goal of balancing the budget… There will be an “adjustment period” and “some disturbance.” He is really going for it.
