At the end of the day, consumers need jobs and stable income, says labor economist Elizabeth Crofoot of Lightcast.
Higher duties are scheduled to kick in Wednesday at midnight for dozens of countries. Investors want to know if they’re permanent.
March’s jobs report was decent. But sweeping changes to U.S. trade policy taking effect in early April may show up in next month’s numbers.
They simply have to spend a bigger slice of their income on necessities.
Even though many commodities, like oil, were exempt from tariffs, the broader economic effects are likely to take a toll if they continue.
Most of the shoes and clothes purchased in the U.S. come from countries hit hard by tariffs.
From the BBC World Service: Asian and European markets have fallen further as global markets continue to process the impact of President Donald Trump’s tariffs.
Prices are expected to rise across the board — from construction materials to consumer electronics and clothing.
A range of services — including software companies, hotels and restaurants — may also suffer as discretionary spending dries up.
Owners have to figure out how these duties will impact input costs and assess whether they need to do anything differently.
