Analysis: Trump to Discuss Reaching Trade Agreements in the Coming Weeks
Foresight News reported that The Kobeissi Letter recently published an article stating that over the past 10 months, this has been an accurate strategy for investors. Its strong performance so far this year is partly due to following this exact strategy during periods of trade tension. Step one: Trump makes vague remarks hinting at imposing tariffs on specific countries or industries, causing the market to decline. Step two: Trump announces an increase in tariff rates (50%+), the market crashes, and weak positions are shaken out. Step three: Dip buyers step in, but a false rebound leads to new lows in stock prices, and smart investors begin to buy. Step four: After the stock market closes on Friday, President Trump doubles down on new tariffs to apply pressure. Step five: On Saturday, the targets of the new tariffs usually respond or comment. Step six: On Sunday, before the futures market opens, Trump issues a statement saying he is working to find a solution. Step seven: Futures surge when they open at 6 p.m. EST on Sunday, but start to lose momentum after the Monday opening. Step eight: After the market opens on Monday, Treasury Secretary Bessent reassures investors on live television. Step nine: Over the next 2-4 weeks, several members of the Trump administration discuss reaching a trade agreement. Step ten: Trump announces a new trade agreement, and the stock market hits a record high. Finally, the cycle repeats from step one. The Kobeissi Letter stated that we are currently at step nine.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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