Everything Is Crashing After China Retaliates With 34% Tariffs On US Goods

  As expected, the Trump tariffs have degenerated into a trade war. 

  How could anybody think one second that it would be otherwise? 

  The US trade deficit was indeed unsustainable and "something" had to be done urgently. (The US is facing the wall and will find it difficult to refinance the 10 trillion + dollars of debt maturing in 2025.) No easy solution was in sight so Trump decided to do it the "hard" way. 

  The world will now have to confront a major crisis of confidence just when there is neither agreement nor discussions between the great powers. What better recipe for disaster could we wish for? 

  In the past, such trade wars have always preceded actual wars. Will this time be different? We shall know the answer to this question very soon! 

  You can read the article (market report) by following the link bellow although by the time you read it, it will be "old" news.

Everything Is Crashing After China Retaliates With 34% Tariffs On US Goods

For a few hours it seemed like we could even stabilize, if only a bit, ahead of today's scheduled main event: the March jobs report at 8:30am ET. And then all hell broke loose at 6:08am when this Bloomberg headline hit:

• *CHINA ANNOUNCES EXTRA 34% TARIFFS ON US GOODS

In other words, far from seeking concessions, Beijing is now looking to escalate the trade war further, and forcing Trump to double down with even harsher retaliatory tariffs on China of his own, which at this point may push the blended tariff rate on Chinese goods above 100%.

  And here's a short video to understand why the Trump tariffs will generate far more disruption than jobs.