Tariffs start today (and yes, they are *bilateral*)

[pdq]

NBC:

Tariffs on $20.7 billion worth of [US] goods will take effect immediately, while tariffs on the remaining $86.3 billion in U.S. products will begin in 21 days, Canadian Prime Minister Justin Trudeau said in a statement. They will remain until the U.S. trade action is withdrawn, he said.

“Because of the tariffs imposed by the U.S., Americans will pay more for groceries, gas, and cars, and potentially lose thousands of jobs,”

They had an item on the news yesterday talking to an auto parts manufacturer in Michigan who is gonna be hit hard by this (as an example). They’re not sure what they’re gonna do.

[Acer]

I just signed on for a new car. It was not the only factor, but the threat of prices going up for cars due to tariffs and supply chain disruption (and same for parts for the 15 year old car I am replacing) was part of my calculation. Of course, if Trump throws us into recession, I'll be the fool when no one is buying and prices drop.

[pdq]

China responds, per NPR:

Beijing responded by slapping additional tariffs of 10-15% on a variety of U.S. agricultural imports, including chicken, pork, soy and beef, starting next week, China's finance ministry announced.

Will Trump shift taxpayer money to farmers to smooth things over with the demographic he keeps f’ing with, as he did before? Perhaps, but only if they keep saying nice things about him and backing him.

[pdq]

…and Mexico (though they win’t announce specifics for a couple days), per the AP:

Mexico President Claudia Sheinbaum said Tuesday that Mexico will respond to 25% tariffs imposed by the United States with its own retaliatory tariffs on U.S. goods.

Sheinbaum said she will announce the products Mexico will target on Sunday in a public event in Mexico City’s central plaza, perhaps indicating Mexico still hopes to de-escalate the trade war set off by U.S. President Donald Trump.

…Sheinbaum said Tuesday…“There is no motive or reason, nor justification that supports this decision that will affect our people and our nations,” she said.

…“It’s inconceivable that they don’t think about the damage this is going to cause to United States citizens and businesses with the increase in prices for things produced in our country,” Sheinbaum said. “Also the damage it will cause by stopping job creation in both countries. No one wins with this decision.”

If there is a recession, Trump is going to own it in the eyes of everyone except his most hopelessly deluded followers, no matter how much he will thrash about and try to shift the blame.

[Acer]

pdq wrote:
…and Mexico (though they win’t announce specifics for a couple days), per the AP:

Mexico President Claudia Sheinbaum said Tuesday that Mexico will respond to 25% tariffs imposed by the United States with its own retaliatory tariffs on U.S. goods.

Sheinbaum said she will announce the products Mexico will target on Sunday in a public event in Mexico City’s central plaza, perhaps indicating Mexico still hopes to de-escalate the trade war set off by U.S. President Donald Trump.

…Sheinbaum said Tuesday…“There is no motive or reason, nor justification that supports this decision that will affect our people and our nations,” she said.

…“It’s inconceivable that they don’t think about the damage this is going to cause to United States citizens and businesses with the increase in prices for things produced in our country,” Sheinbaum said. “Also the damage it will cause by stopping job creation in both countries. No one wins with this decision.”

If there is a recession, Trump is going to own it in the eyes of everyone except his most hopelessly deluded followers, no matter how much he will thrash about and try to shift the blame.

so, you're saying about 45% of those who bother to vote will blame Biden.

[pdq]

Acer wrote: …so, you're saying about 45% of those who bother to vote will blame Biden.

I’m more optimistic. I’d guess only ~30% of the voters in this country are hopeless.

[pdq]

So far, the market is certainly taking it well (not!).

As I wrote this, NASDAQ, S+P, Dow were all off another 1.1%; Russell 2000 off another 1.6%. Now it’s a little lower. But maybe Wall Street will “climb a wall of worry” and rally later today?

Crypto off another 7% (Bitcoin) to 16% (Trumpcoin). Yup, heckuva “store of value”, that. (Gold is up again, tho)

I know I hammer on crypto (for lots of good reasons, I think), but I think one real economic danger is that a lot of the money in that is speculation by Wall Street types trying to to juice their returns, just like in real estate/mortgages before the Great Recession circa 2008. If they are in any way leveraging between stocks and crypto, they’re going to have to start selling one or the other at a loss to cover, and that can be a vicious cycle.

[Black]

pdq wrote:
[quote=Acer]…so, you're saying about 45% of those who bother to vote will blame Biden.

I’m more optimistic. I’d guess only ~30% of the voters in this country are hopeless.
I am surrounded by these people... yes, in the Heart of Chicago. They are fiercely defending you know who no matter what happens.... "you better not say anything about him... he has a plan.... you'll see." The persistent democratic fantasy that the Orcs are turning on him takes away what's left of my hope.

[jonny]

Ontario Premier Doug Ford, who won a third majority last week, said during news conference: "They need to feel the pain. They want to come at us hard? We've got to go back twice as hard."

Ford told NBC: "We [Ontario] keep the lights on in 1.5 million homes and [in] manufacturing in New York, in Michigan, and in Minnesota.

"If he wants to destroy our economy and our families, I will shut down the electricity going into the US."

As per the Toronto Sun, Ford said: "If they want to try to annihilate Ontario, I will do everything — including cut off their energy with a smile on my face.

[Black]

jonny wrote:

"If he wants to destroy our economy and our families, I will shut down the electricity going into the US."

As per the Toronto Sun, Ford said: "If they want to try to annihilate Ontario, I will do everything — including cut off their energy with a smile on my face.

Oh yay an excuse to send in the military. Everything is moving along perfectly.