How We’re Playing the “Will-He-Won’t He” Market
Tom Yeung here with today’s Smart Money.
“BE COOL! Everything is going to work out well,” President Donald Trump posted on Truth Social on Wednesday morning. “THIS IS A GREAT TIME TO BUY!!!”
It turned out it was. On Wednesday afternoon, the president announced a 90-day pause on all “reciprocal” tariffs on non-retaliating countries. American markets surged 9%, and Asian ones jumped even higher.
Eric had anticipated possible meaningful reductions to the new tariff regime. That’s why, despite the market noise and headline headaches, he recently added a high-quality athletic apparel firm in his elite-trading service The Speculator that would benefit from the delay of tariffs.
The company in question imports a large quantity of its products from Vietnam, and it had become priced like a coiled spring waiting to go off on any good news. Here’s what Eric wrote to his subscribers…
The “Black Swan” tariff event is causing the selloff, not any fundamental flaw with the brand itself.
Therefore, if the swan simply flies way, the share price could soar….
If that change occurs, the new U.S. tariffs on Vietnamese imports could disappear entirely as well. I think that’s a bet worth taking. No one wants this trade war, especially not the Asian countries that produce so much of the clothing we buy here in the U.S.
He’s been proved right so far. Shares of this firm surged double digits on Wednesday as the bulk of tariffs on Vietnam (and just about every other country besides China) were postponed. Only 10% tariffs have gone into effect.
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