Trump's Trade Strategy: Tariff Talks and Market Reactions

President-elect Donald Trump denies reports of tariff plans targeting critical imports, causing uncertainty in trade policies. The Washington Post cited sources on a narrower tariff approach affecting business sectors crucial to national security. While markets reacted positively, questions about Trump's true trade strategy remain.

In a striking twist, President-elect Donald Trump refuted a report by the Washington Post claiming his aides were considering a new tariff strategy. The report suggested a targeted approach, focusing on sectors crucial to national and economic security. Trump's denial has left industry leaders uncertain about future trade reforms.

Contrary to the Washington Post's claims, Trump announced on his Truth Social platform that plans to limit his tariff policy were incorrect and based on unreliable sources. This came as a surprise to many, as it marked a deviation from Trump's previous campaign pledges regarding high tariffs on global imports.

The ambiguity surrounding the potential tariff policy added volatility to both U.S. and European markets. Business leaders, like John Murphy from the U.S. Chamber of Commerce, expressed concern over the persistent uncertainty and advocated for more clarified trade policies to avoid costly repercussions.

(With inputs from agencies.)