
The recent U.S.-China tariff agreement has significantly improved the economic outlook, reducing the likelihood of a recession and boosting investor confidence.
📉 Tariff Reductions and Economic Impact
In a move to ease trade tensions, the U.S. has agreed to lower tariffs on Chinese goods from 145% to 30%, while China has reduced its tariffs on U.S. imports from 125% to 10%. This 90-day truce aims to provide relief to businesses and consumers affected by the prolonged trade war.
Economists have responded positively to the deal. Oxford Economics has lowered the probability of a U.S. recession in the coming year from over 50% to 35%. Similarly, Goldman Sachs has reduced its recession odds to 35% from 45%, citing the tariff rollback as a key factor.