Observers on Sunday bashed President Donald Trump's strategy for dealing with China after the president threatened to impose significant tariffs on the country.
On Friday, Trump threatened to hit China with 100% tariffs, a move that sent the stock market tumbling. The tech-heavy NASDAQ Composite Index fell by 3.6%; the S&P 500 lost 2.6% and the DOW Jones lost 1.9%.
Trump tried to assuage investors' concerns on Sunday in a Truth Social post.
"Don’t worry about China, it will all be fine!" Trump posted on Truth Social. "Highly respected President Xi just had a bad moment. He doesn’t want Depression for his country, and neither do I. The U.S.A. wants to help China, not hurt it!!!"
The president's words seemed to have the opposite impact on investors. Several observers shared their thoughts about the move on social media.
"TACO strikes again," Peter Schiff, chief economist at Europac Asset Management, posted on X. "JD Vance walked back Trump’s 100% tariffs threat by saying it’s just a negotiating tactic. It’s not the best negotiation strategy to let your opponent know that you’re bluffing. Trump also posted about his great relationship with China’s wonderful president."
"Taco time," Spencer Hakimian, founder of Tolou Capital Management, posted on X.
"The Trump-China trade relationship reminds me of my middle school love life: On one week, off the week, high drama, passing notes, heartache, renewal, gossip, and we did it all again the next week," University of Michigan economist Justin Wolfers posted on X. "The reality, of course, is that despite the drama, no one was making long-term commitments."
"When you fire all the China experts, you end up with stupid remarks just like this," military veteran John Jackson posted on X. "China is patient, methodical, deliberate and ruthless. No it won’t be ok, Mr. President, and you can’t wish away that which you alone have wrought."
