Tariffs and Markets

The wild ride on tariffs and in the financial markets continued this week as U.S. President Donald Trump announced a 90-day “pause” on most of the newly levied tariffs for countries exporting products into the U.S. The major exception to the pause was China, on which the tariff was increased to 125%. President Trump later announced that phones and certain other electronic devices would be exempt from the tariffs.

The back and forth on tariff policy led to significant volatility in financial markets. For example, the S&P 500 lost more than 12% of its value in the four trading days following the tariff announcement but then gained about two-thirds of that decline back when the pause was announced.

Analysis and eternal perspective: As we noted last week, there is significant disagreement on the long term impact of using tariffs as an economic tool. Some, including the President, insist they are essential for maintaining a level global playing field. Others say they serve only to drive costs up for consumers. To add to that dissension, it remains unclear whether the tariffs are part of a sustained strategy or whether they are primarily being used to bring countries to the negotiating table.

Perhaps the lone point of agreement on all sides of the policy debate is that tariffs cause immediate price increases for consumers. It is on this point that followers of Jesus have an opportunity to walk out our faith.

First, as we discussed last week, if your hope and faith is set on the eternal, the current financial volatility will not shake your confidence. Your security is found in that which this world cannot reach.

Next, regardless of your view on tariffs, you know the current situation adds financial pressure to many in your community. Let’s leverage the impact of The Equipped family into this place of need this week by each of us searching out one opportunity close to home to ease a specific tangible need. Perhaps it is leaving a gift card in a mailbox anonymously, or maybe it is inviting someone in your community over for a meal (this option has the added benefit of relationship). Whatever it is, this week, our job is to choose one small way to ease the economic pressure on someone around us.

Your action might seem small, but multiplied across The Equipped family the impact will be significant (Ecc. 4:12)!

The following article originally appeared in Thann’s “The Equipped” Weekly Newsletter. For more information on Thann’s weekly email, click here.

Thann Bennett

Thann Bennett is the Founder and President of Every Good Work, which exists to equip Jesus followers for a life of impact. His weekly newsletter, The Equipped, helps Jesus followers engage current events through a lens of the True and the beautiful. Thann and his wife, Brooke, are co-Founders of A Fearless Life, which works to find and fund a family for every adoption-eligible foster child in America. Thann has more than two decades of high-level public policy experience, with a particular focus on the U.S. Congress and the United Nations. He is the author of In Search of the King and My Fame His Fame. Thann and Brooke live in southern Maryland with their three children: Jude, Gambrell, and Hope, as well as a host of farm animals. The Bennetts are longtime members of the National Community Church family in Washington, D.C.

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