Markets are rebounding after Donald Trump froze worldwide tariffs at 10% for 90 days – except on China, which now faces a 125% levy. Beijing’s retaliatory measures are in effect from today. Listen to the Trump 100 podcast – on the trade war between the two countries – as you scroll.
Thursday 10 April 2025 13:22, UK
Live reporting by Bhvishya Patel
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The US has tariff deal offers „on the table“ from more than 15 countries, White House economic adviser Kevin Hassett says.
Speaking to Fox News just now, Hassett said „things are moving fast“ – revealing he is having a meeting with Donald Trump and his key advisers today to discuss the countries he would prioritise.
Donald Trump „caved in because of the bond market“, a financial expert has told business presenter Darren McCaffrey.
Dan Ives, global head of technology research at Wedbush Securities, said he had been covering stocks on Wall Street for 25 years and this was the „craziest week I’ve ever seen“: „Welcome to the twilight zone.“
„Trump came off the cliff yesterday and he came off because the bond market spoke,“ he said.
„You can’t bully the bond market.“
He went on to say that „Trump caved in because of the bond market“.
„There is not even a debate there,“ he said.
„Trump recognised that and pulled away from the cliff.“
Asked about the US-China trade war, he added: „It’s like two bullies fighting in the school yard and waiting for the other one to blink.
„It’s the US consumer caught in the middle of this.“
He said the US has „got to get a deal with China in the next 30-60 days“.
„This cannot continue,“ he said.
Global shares surged and a chaotic bond selloff stabilised after Donald Trump said he would temporarily lower the hefty duties he had just imposed on dozens of countries.
Asian and European markets are up.
China is also seeing strong markets despite being slapped with a 125% tariff.
Here are just a few pictures coming through to us today…
By Sarah Taaffe-Maguire, business and economics reporter
It’s counterintuitive, but the country worst hit by Trump’s tariffs is experiencing strong stock market performances.
While most countries got a 90-day reprieve from the US president’s so-called reciprocal tariff, China’s only been slapped with higher taxes, now brought up to 125%.
Despite that, the Shanghai Composite stock index closed up 1.16%, and the Shenzhen Component jumped 2.25%.
Chinese stocks got a boost through government policy.
Support came as the authorities encouraged state-owned financial institutions to buy more stocks, and some stock market-listed companies announced plans to buy back shares, which gave a boost to investors.
Inflation data released earlier today showed prices were falling in the world’s second-largest economy.
The EU is pausing its retaliatory tariffs on the US for 90 days – after Donald Trump’s reversal last night.
European Commission president Ursula von der Leyen says the bloc wants to give negotiations a chance.
„While finalising the adoption of the EU countermeasures that saw strong support from our member states, we will put them on hold for 90 days,“ she says.
„If negotiations are not satisfactory, our countermeasures will kick in.
„Preparatory work on further countermeasures continues.“
Trump hit the EU with a 20% tariff on „liberation day“. The EU’s counter-tariffs included a 25% levy on a wide range of US products, including almonds, orange juice, poultry, soya beans, steel and aluminium, tobacco and yachts.
There will be a drag on economic growth if tariffs remain on China, Sky’s business presenter Darren McCaffrey says.
It is „unsurprising“ that the markets have bounced back this morning, he says, but it has been a „kangaroo stock market“ with „lots of volatility“.
The pause is good news, especially for sectors that have been hard hit such as the car industry – and in the UK the cost of borrowing has gone down.
„There still remains some bad news to this and that is the tariffs still remain in China – that is a proper trade war between the world’s largest economies,“ he says.
„That is going to be a drag on economic growth if it continues and on growth here in the UK.“
He also notes this „is just a pause“.
„Trump’s changed course quite a lot and he could do it again and that volatility will feed into a lot of the uncertainty we will see in the coming months,“ he adds.
The White House is, unsurprisingly, spinning Donald Trump’s tariff policy as a „master strategy“ – but others are convinced otherwise.
Homeland security adviser Stephen Miller says Trump’s actions over the past week amount to „bold statesmanship“ and „brilliant tactical planning“, claiming he „has done more to reform broken international trade in days than anyone has achieved in decades“.
But another read is that the president was forced to bow to the reality of the market meltdown.
Business analyst Ian King says the bond markets forced Trump to blink.
The White House was confronted by a potential hike in borrowing costs for millions of American homeowners, consumers and businesses – and this in turn led them to rein back tariffs, he says.
Read King’s full analysis here:
It’s a positive story for markets across the board today, even in China.
In the UK, the FTSE 100 is up (see more in our previous post) – following the trend across Europe…
Germany’s DAX 40 is up 5.71% while France’s CAC 40 is up 5.42%.
The IBEX 35, Spain’s stock exchange, is up 5.49%.
The Italian national stock exchange, MIB 30, is also up by over 6%.
When it comes to European shares, the pan-European STOXX 600 jumped 5.9% at 7.52am UK time, after losing 12.5% since the tariffs took effect on 2 April.
The Shanghai Composite has risen slightly, despite Donald Trump’s additional tariffs on China…
But the biggest surge of all was in the US last night after the president made the announcement, with the Nasdaq rising more than 12%…
The FTSE 100 has risen by more than 4% this morning.
These market figures follow a significant rally for markets in the US and Asia, after Donald Trump said he would be delaying tariffs on most nations for 90 days while raising his tax rate on Chinese imports to 125%.
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Tariffs latest: EU pauses tariff retaliation after Trump climbdown – as charts show markets surging – Sky News
