President Trump Just Made Worrisome Stock Market History. What Usually Happens Next May Surprise Investors.

As President Donald Trump wields tariffs against major U.S. trading partners, he is also taking on bond vigilantes who tested his resolve earlier this month with a massive and worrisome move in the markets.

President Donald Trump denied that a strong bond market sell-off influenced his decision earlier this month to hold off on aggressive “reciprocal” tariffs against U.S. trading partners.

In public remarks on Wednesday, Treasury Secretary Scott Bessent said the U.S. is willing to negotiate with China, which sent markets higher. The comments from Bessent affirmed a shift toward de-escalation he reportedly shared at a private JPMorgan event a day earlier. Bloomberg News first reported those remarks.

Intel, Eastman Chemical, and Sketchers are among the latest companies to say the uncertainty created by Trump’s trade war makes it difficult to give financial forecasts for the upcoming year.