President Trump issued tariffs on three major trading partners, causing volatility in global markets. While the tariffs were initially set to take effect immediately, a deal was reached to delay tariffs on Mexico for one month. Despite this, tariffs on Canada and China are still slated to start soon. Markets reacted sharply, with stock futures plunging and Bitcoin hitting a 30-day low before rebounding. The Mexican peso gained ground, while the Canadian dollar shifted positively against the US dollar. Analysts say the market had previously underestimated the risks of tariffs, which were viewed more as a negotiation tactic. The latest ISM manufacturing index indicates growth, though it may be influenced by pre-emptive stockpiling due to tariffs. Experts express concerns that higher prices for raw materials and retaliatory tariffs on exports could hinder manufacturing recovery. The overall sentiment suggests uncertainty in trade talks and potential economic repercussions.

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