The US China Trade War has entered a new, explosive phase. With sudden tariff hikes and surprise announcements from US President Donald Trump, global financial markets have gone from panic to partial recovery — all in a matter of hours. Amid these developments, serious allegations of insider trading involving Trump have also surfaced, sparking fresh controversy. Let’s break down the entire situation in simple terms.
Global Stock Market Reacts to Trump’s 90-Day Tariff Pause
The world was watching closely when Donald Trump made back-to-back announcements on his social media platform X (formerly Twitter). First, he imposed a 125% tariff on China, and shortly after, he declared a 90-day pause on increased tariffs for about 75 other countries.
This dramatic shift came after China had slapped an 84% tariff on the US, escalating the ongoing US China Trade War. The tariff war has now turned into a full-blown economic conflict between the world’s top two economies.
Trump’s decision to delay tariff hikes for other countries was seen as a positive step. And it showed immediately in the stock market.
- S&P 500 soared by 9.5%
- Nasdaq Composite shot up by 12%, adding over 1,800 points
Even Asian markets followed the trend:
- Japan led with the biggest jump
- South Korea and Australia also posted solid gains
Just one announcement from Trump was enough to calm investors and bring back market momentum. Though the Indian stock market remained closed on 10 April 2025 due to Mahavir Jayanti, experts believe the impact of Donald Trump's 90-day pause on tariffs and the ongoing US China Trade War will reflect on Nifty 50 and Sensex when markets reopen on 11 April 2025.
Why Is Donald Trump Being Accused of Insider Trading Amid the US China Trade War?
While global markets were still celebrating the sudden rebound, Donald Trump triggered a new controversy with two bold tweets from his official account. First, he posted: “BE COOL! Everything is going to work out well. The USA will be bigger and better than ever before!”
Followed shortly by another: “THIS IS A GREAT TIME TO BUY!!! DJT”
These statements, made right after his announcement of a 90-day pause on tariffs, are now under intense scrutiny. Many critics and legal experts believe these remarks could be a case of insider trading. The concern is that Trump, being in a position of immense power and access to confidential economic decisions, may have used that information to influence stock market behaviour.
The reference to “DJT” — which matches Trump’s initials and is also linked to a stock symbol — has raised eyebrows. It suggests he may have encouraged investments that could benefit him or those close to him financially.
This raises serious ethical and legal questions. Can a person in such a powerful position make such public statements without crossing the line? That’s what authorities are now looking into.
US-China Trade War Intensifies With Rapid Tariff Blows
In just three days, the US China Trade War has escalated sharply. Here's how it played out:
- China first imposed a 34% tariff on US goods
- Trump warned of a 104% tariff if China didn’t back down
- China didn’t retreat and replied with an 84% tariff
- Trump answered immediately with a 125% tariff
This tit-for-tat escalation is now affecting global trade, investor confidence, and economic stability. Many experts believe that if the conflict continues at this pace, the impact on the stock market and international trade could be long-lasting and severe.
What Lies Ahead for the Global Economy?
The situation remains tense. While the 90-day pause may offer temporary relief to some countries, the heart of the problem — the tariff fight between the US and China — is only getting worse.
At the same time, the insider trading allegation against Donald Trump has added a new layer of uncertainty. If these charges gain ground, it could trigger legal battles and further shake market confidence.