Trump tariff chief ‘guarantees’ stock market boom soon as China vows all-out trade war: Live updates

President Donald Trump’s senior counselor for trade Peter Navarro said the crashing stock market will turn soon.

It’s finding a bottom now. It’s finding a bottom now, but look, here’s the thing, it’s going to shift over and it’s going to be companies in the S&P 500 who are the first to produce here.

Those are the ones going to lead to recovery, and it’s going to happen. Dow 50,000, I guarantee that, and I guarantee no recession. Because, when we pass the biggest, broadest tax cut in history within a matter of months, that’s going to be a great stimulus. There’s not going to be any inflation. We’ve already had a significant drop, a huge drop in oil prices. We’re going to have have lower yields and mortgage.

By Geoff Earle, Deputy U.S. Political Editor

President Donald Trump posted about a ‘great call’ with South Korea’s acting president, and claimed the ‘probability’ of a deal that might head off a trade battle with the key ally.

‘We have the confines and probability of a great DEAL for both countries. Their top TEAM is on a plane heading to the U.S., and things are looking good,’ Trump posted. ‘We are likewise dealing with many other countries, all of whom want to make a deal with the United States.

Han Duck-soo is serving as acting president amid political chaos in Seoul.

Treasury secretary Scott Bessent, also talked up the possibility of progress Tuesday as nations seek to roll back big tariffs that Trump imposed last week based on trade deficits with the U.S., setting off market turmoil. ‘I would say the negotiations are a result of the massive inflow of inbound calls to come and negotiate,’ Bessent said. ‘It had nothing to do with the market.’

He predicted big countries with big trade deficits would ‘come forward very quickly’ and mentioned the possibility of ‘good deals.’

The Dow Jones Industrial Average, after getting hammered for three successive trading days, was up 1,300 points in early morning trading.

Donald Trump’s Treasury Secretary warned China it was making a ‘big mistake’ in escalating the tariff war, warning they don’t have the goods to back up their threat.

‘I think it was a big mistake, this Chinese escalation, because they’re playing with a pair of twos,’ Scott Bessent told CNBC’s Squawk Box on Tuesday morning.

‘We are the deficit country. What do we lose by the Chinese raising tariffs on us? We export one-fifth to them of what they export to us, so that is a losing hand for them.’

Beijing vowed to fight the president’s tariffs to ‘the end’ and imposed 34% tariffs on U.S. products in response to the 34% imposed on them by the White House.

President Donald Trump will meet with House Republicans at 1 pm at the White House.

The group includes lawmakers who have whipped no or lean no on the budget resolution, Punch Bowl news reported.

Many conservatives have said they’re a ‘no’ on the budget resolution already passed by the Senate. The resolution establishes Trump’s legislative agenda of tax cuts, border funding and energy policy.

That leaves Speaker Mike Johnson with a lot of votes to put in his corner.

Trump’s schedule for Tuesday is pretty packed. He is also planting a commemorative tree at 10:30 am and signing an executive order on energy at 3:30 pm.

The anchor mocked himself on The Five on Monday after showing clips of Democrats criticizing Trump for playing golf while global markets lost trillions over the weekend.

Watters said Trump playing golf during the crisis ‘is not a middle finger to middle America – that’s a middle finger to all these foreign countries who are trying to get on the phone and negotiate these tariffs down.’

Warren Buffett is the only top 500 billionaire to profit from President Donald Trump’s tariffs that have panicked the global stock market.

New figures from the Bloomberg Billionaires Index shows that 499 of the world’s 500 richest men have seen their fortunes decline since Trump took office and sent the global economy into turmoil with his destructive trade war.

First Buddy Elon Musk, who over the weekend made direct yet unsuccessful appeals to the president to reverse tariffs, has experienced a $130billion year-to-date loss in his net worth, according to the data.

China blasted what it called ‘blackmailing’ by the United States over tariffs.

It vowed ‘countermeasures’ if Washington imposes tariffs on top of the 34 percent extra that are already due to come into force on Wednesday.

Beijing’s commerce ministry said:

If the US insists on going its own way, China will fight it to the end.