Trump announces temporary tariff exemptions for Chinese electronics

LONDON: Stock markets experienced an uptick on April 15, 2025, as investors reacted to announcements surrounding US-China trade relations. The Trump administration revealed tariff exemptions for several crucial technology products imported from China, such as smartphones and laptops. This announcement provided a brief surge of optimism in technology stocks, particularly among major firms like Apple and Alphabet, which saw their stock prices rise. However, the overall sentiment was dampened when President Trump indicated that these exemptions might only be temporary, causing many investors to reconsider their positions amidst the ongoing uncertainty in trade discussions. As a result of these developments, the tech-heavy Nasdaq index showed little movement, reflecting mixed investor reactions. Amazon, Meta (parent company of Facebook), and Nvidia struggled, while other large tech companies managed to remain stable or show gains. Analysts pointed to a developing trend in Washington where a partial retreat from strict tariff policies is being observed, alleviating fears of an escalated trade conflict. In addition to the stock market responses, the US dollar weakened further against other major currencies, primarily due to persistent trade tensions affecting its attractiveness. Financial analysts noted that ongoing uncertainties surrounding trade relations had an immediate impact on dollar performance. Despite a slight recovery in US Treasuries following previous sell-offs, questions surrounding the reliability of these bonds as safe investments remained, with speculation that China actively sold off Treasury holdings adding to market volatility. In this backdrop of fluctuating market conditions, the price of gold surged to a new high of $3,245.75 per ounce. Investors often turn to gold as a safe-haven asset in times of market turmoil and uncertainty, which reflects the prevailing sentiment among traders in response to the recent trade policy announcements and the implications for economic stability. Ultimately, the mixed responses in the market, combined with the uncertain future regarding tariff policies, underscore an ongoing climate of instability driven by trade dynamics.