China retaliates; Stock market free falls

It’s Friday. I’m still not over the penguin tariff jokes on social media. Like this. And this. And this. Oh, and this. OK, fine. I’ll get to the news now.

In today's issue:

• China retaliates against Trump tariffs
• Stock market selloff intensifies
• Surprisingly strong March jobs report
• How a TikTok deal could be tied to tariffs

THE FIRST 100 DAYS

China retaliates:

China announced this morning that it will slap a 34 percent tariff on all U.S. imports starting next week, matching the Trump administration’s 34 percent “Liberation Day” tariff on Beijing.

The stock markets did not take kindly to that news, tumbling yet again this morning. The Dow Jones Industrial Average was down more than 1,200 points this morning. The S&P 500 index was down 3.6 percent, and the Nasdaq composite was down 3.5 percent.

^ Keep in mind: This is after yesterday’s worst day of market losses since the COVID-19 outbreak in 2020. The Dow and S&P each had their worst losses since June 2020, and the Nasdaq had its worst day since March 2020. It’s worth noting, per The Hill’s Sylvan Lane, that the losses are magnified due to the stock market's rapid growth since 2020, but the steep losses do show growing concern over Trump’s trade policies.

How is Trump handling this?: He bashed China this morning, arguing Beijing “panicked.” “China played it wrong, they panicked – the one thing they cannot afford to do!” Trump posted on Truth Social.

In fact, Trump is encouraging investors to buy stocks now while the market is down. “THIS IS A GREAT TIME TO GET RICH, RICHER THAN EVER BEFORE!!!” Trump said on Truth Social.

He urged the Fed to cut interest rates: Trump accused Federal Reserve Chair Jerome Powell, a fellow Republican, of refusing to cut interest rates for political reasons. “This would be a PERFECT time for Fed Chairman Jerome Powell to cut Interest Rates. He is always “late,” but he could now change his image, and quickly,” Trump posted.