Good News for Impending Mavic 4 Pro Release (and Your 401k!)— Chinese Import Tariffs Paused for 90 Days

[GadgetGuy]

U.S. and China agree to slash reciprocal tariffs in major step toward easing trade war


The world’s two biggest economies agreed to a 90-day pause on most of their levies after a first round of trade talks in Switzerland over the weekend.

U.S. tariffs on Chinese imports will be cut to 30% from 145%, while China’s levies on U.S. imports will be cut to 10% from 125%, the two countries said in a joint statement.

The announcement sent U.S. stocks leaping in pre-market trading. The Dow Jones Industrial Average was up 2.1%, while the S&P 500 index was up 2.8% and the tech-heavy Nasdaq index was up 3.8%.

U.S. and China agree to slash reciprocal tariffs in major step toward easing trade war — NBC News

The world’s two biggest economies agreed to a 90-day pause on most of their levies after a first round of trade talks in Switzerland over the weekend.

apple.news

 

[microlinux]

It’s a good step but we’re bandaging a self inflicted wound …

Hopefully something gets hammered out, the elephant of uncertainty is still in the room. I don’t think we’re going to see all that much stabilization until this is hammered out, expect a hangover.

 

[1gratedulflyingdawg]

It’s a good step but we’re bandaging a self inflicted wound …

Hopefully something gets hammered out, the elephant of uncertainty is still in the room. I don’t think we’re going to see all that much stabilization until this is hammered out, expect a hangover.

It’s an Elephant Hurd of uncertainty

 

[Meta4]

U.S. tariffs on Chinese imports will be cut to 30% from 145%

... which is still significantly more than the import tax which applied before "Liberation Day" and the same as the event that triggered the market crash that followed.

The announcement sent U.S. stocks leaping in pre-market trading. The Dow Jones Industrial Average was up 2.1%, while the S&P 500 index was up 2.8% and the tech-heavy Nasdaq index was up 3.8%.

.. despite the issue only being delayed for 90 days, with the possibility of more disruptions in future.

 

[GadgetGuy]

... which is still significantly more than the import tax which applied before "Liberation Day" and the same as the event that triggered the market crash that followed.

.. despite the issue only being delayed for 90 days, with the possibility of more disruptions in future.

No doubt, we're in for a rough ride all around.
We live in exceptionally turbulent times.

I've seen enough market cycles of boom to bust to know that the S&P 500 eventually survives all, as long as one tolerates its volatility, and doesn't sell any more than one needs to live on, in down cycles.

My VOOG ETF peaked at 386 around January 22nd, after a 20% surge, and then started declining to below 300, effectively erasing the 20% gains over the last year. However, having seen it drop by 50% in 2008, and then quadruple over the following 13 years, roughly doubling every 7 years, I didn't lose sleep over it.

My less patient and less wise youngest brother panicked and liquidated his VOOG at 283 on April 8th, sadly locking in a $250,000 loss, while trying to avoid losing more. Instead, it gained 5% by the closing that same day, and has been up ever since.

I knew that the decline was temporary, not permanent, especially with a 10 year horizon in mind for recovery. To see VOOG close yesterday at 363, which is only a 23 point drop from the 52 week high was gratifying. It happened in just 5 weeks!

Selling was the only way one could lose during the decline, converting a paper loss to a real one. Unfortunately, I doubt my brother has the fortitude to average back into VOOG with his remaining $1,000,000 nest egg to profit from the future gains. Once burned, twice shy. No one rings a bell at the bottom or the top, which are only apparent in hindsight. Buy and hold only works if you actually hold.

As to the Mavic 4 Pro, no matter the price, with or without tariffs, until U.S. Customs stops creating Customs holds on all DJI imports, resulting in most DJI drone purchases being returned to China, no Mavic 4 Pros will be available to the U.S. customers from DJI, Amazon, Best Buy, Adorama, B&H, and Drone Nerds at any price.

Stay tuned!