Are Markets Immune to Trump's Tariff Tactics?

Global financial markets seem to have developed a resistance to the tariff decisions made by U.S. President Donald Trump, according to Carol Fong, Chief Executive of CGS International Securities Group. Speaking at the Reuters Next Asia summit, Fong noted a dwindling market reaction to these announcements.

"The market is becoming desensitised," said Fong. "Recent tariff deadlines haven't spurred significant market shifts." Trump's recent directive for a new August 1 tariff deadline targeting reciprocal rates does little to stir the market, reflecting its newfound immunity.

Despite this, the U.S., driven by these tariffs, has amassed $100 billion in income this year. In response, Chinese firms are relocating resources to Southeast Asia due to trade uncertainties, while some investors pivot away from U.S. assets in favor of regions like India, highlighted for its promising investment potential.

(With inputs from agencies.)