Mark down March 3, 2025. That was the day Wall Street finally realized that US President Donald Trump was serious about tariffs. On Monday, the S&P 500 fell nearly 2 percent as Trump confirmed what we at the Atlantic Council predicted in February—that the tariffs on Canada and Mexico were not mere threats, but actually likely to be implemented. The stock markets continued to fall on Tuesday as investors processed the news.
You can buy a house for cheap when a fire is threatening it, and hope to put out the fire before it gets destroyed. That’s how you can profit from a fire.
But if it’s just buying the ashes, that’s not actually a good investment strategy. The price has dropped because the thing truly did become less valuable.
Too many people can’t seem to see the difference between the first category and the second.