Trump's Tariff Tango! Will the 90-Day Pause Save Us From Economic Armageddon?

Did Someone Say 'Pause'?!

Well hello there fellow investors! Bill Gates here your friendly neighborhood billionaire. Seems like even The Donald realized that tariffs can be a bit like Windows 95 – clunky and prone to crashing. After sending Wall Street into a tizzy he's announced a 90 day pause on those 'reciprocal' tariffs. Except for China of course. As I always say 'Your most unhappy customers are your greatest source of learning,' and I guess someone finally learned that lesson! The stock market did a happy dance with the S&P 500 pulling off its third largest one day gain since World War II. Talk about a sugar rush!

China's Still in the Room...

But hold on to your hats folks. We're not exactly out of the woods yet. China's still playing hardball slapping tariffs on U.S. goods like they're going out of style. And let's be honest who knows what's going to happen when this 90 day 'pause' expires? It's like waiting for the next Blue Screen of Death – you know it's coming you just don't know when. As Adam Crisafulli put it this White House seems intent on reorienting global trade and that 'shock of April 2 will leave a lasting imprint.' He's right you know! Much like Clippy leaving an imprint on us from the Windows 97 era...

Slowdown Ahead?

Speaking of lasting imprints the risk of an economic slowdown is still lurking around the corner. Even if we dodge a full blown recession all this tariff uncertainty could make companies think twice about hiring and consumers a bit less willing to spend which leads to an economic slowdown. Remember uncertainty is the mother of caution as I've always said. Much like when deciding whether or not to upgrade to Windows Vista...

The Good Old Days of 2.5% Tariffs

Let's not forget that even with this 'pause,' tariffs are still historically high. Back in 2014 we had a sweet 2.5% tariff rate on all imports! Frances Donald from RBC put it bluntly: a 10% tariff wall 'would've been a painful impact to growth.' She's correct! We are not as near to 'plug and play' economy as we would like to believe...

Economic Suicide or Respite?

Peter Boockvar asked the million dollar question: "Respite? Further economic suicide?" It all depends on where you're sourcing your products from. Unfortunately a hefty chunk of goods is still imported from China. As David Kelly from JPMorgan Asset Management warned 'This embrace of tariffs isn't over yet and if we stick with even the level of tariffs that we're at right now after this 90 day pause that is still quite damaging to the U.S. economy.'

Expert insights with Tom Lee!

So what's an investor to do? Well for starters you could attend CNBC Pro LIVE at the New York Stock Exchange! Apparently they're offering 'expert insights' and 'interactive clinics.' It's like getting a virus protection for your portfolio! And a special edition Pro talks with Tom Lee is just icing on the cake!