Trump retreated, due to a specific reason.

Amidst the US President's triumphant celebration of his trade policy, a conservative pundit from Fox News voices dissent.

, and Administrator

2025 September 12 . 12:59 AM

1 min read

Trump retreated, due to a specific reason.

In a surprising turn of events, China's chief economist, Christopher Hodge, has suggested that deals similar to those struck during Trump's first term could be possible. This optimistic statement comes amidst a tumultuous trade relationship between the two economic powerhouses.

The ongoing dispute between the US and China has been a topic of concern at the World Trade Organization, with China complaining about Trump's trade policy, stating that the situation has dangerously escalated. However, US Treasury Secretary Steven Mnuchin has countered these claims, suggesting that countries without counter-tariffs will be rewarded with time for negotiations.

The announcement of a potential diplomatic shift has brought a breath of fresh air to the financial markets. The Dow Jones, S&P 500, and Nasdaq indices have all risen significantly following the news. Analyst Alex Morris expressed relief, stating that the market is rejoicing due to a pause in the escalating dispute.

However, uncertainty remains about the outcome of negotiations within the next 90 days. Unsettled US consumers may hoard goods to protect against rising prices and further inflation. It is important to note that existing tariffs on cars, steel, and aluminum are not affected by Trump's announcement. A base tariff rate of 10 percent will remain in force for almost all imports into the US.

Charles Gasparino, a chief analyst at Fox known for his critical stance towards US President Trump's decisions, has yet to comment on this latest development. The dispute between Trump and China continues to escalate, with China countering tariff increases with its own counter-tariffs. Only time will tell if these latest negotiations will lead to a resolution or further escalation.