‘Trump rule’ has started again in America. Donald Trump has returned to the White House by taking oath as the 47th President of the country. With his debut, he has also started showing a tough attitude towards China, Canada and Mexico. On one hand, Trump shocked China on the pretext of TikTok, while on the other hand he has also hinted at dropping tariff bombs on Canada-Mexico. Let us tell you that Donald Trump has already given big statements related to tariffs regarding India and the effect of this apprehension was seen on the stock market on Tuesday. While Sensex-Nifty were jumping before Trump’s oath, they have suddenly fallen after the oath.
China is at the forefront of Trump’s target
As soon as he took oath as the US President, Donald Trump was seen in action and China was seen at the forefront of his target. Donald Trump, who became US President for the second time, has given a big blow to China and warned of imposing tariffs if it does not agree to the conditions. He has put the condition of tariff in the name of TikTok. Donald Trump said that we charge less from China, we can impose heavy tariffs on China. Before my arrival, China has not given anything to America and has continuously taken advantage of it.
Tariff bomb may explode on Canada-Mexico
After China, Canada and Mexico are visible on Donald Trump’s radar. For the progress of America, Donald Trump first talked about imposing 25 percent tariff on Canada and Mexico. After taking the oath of office, Donald Trump reached the Oval Office and presented his vision and said that he can impose 25% tariff on Canada and Mexico. However, this decision can be implemented after about 10 days from February 1 and its effect will be that this much percent tax will have to be paid on the goods coming to America from Canada-Mexico.
Why did the Indian stock market panic?
Now let us tell you why the Indian stock market is scared of the imposition of tariffs on China, Canada and Mexico? Before this, let us tell you that after Trump Oath, the Indian Stock Market had started trading rapidly on Tuesday. The Sensex had opened with a gain of about 200 points, but within a few minutes this rise turned into a fall. After this, BSE Sensex slipped by 834 points and reached the level of 76,137. Like Sensex, BSE Nifty slipped and was trading more than 200 points lower. Especially a big decline is being seen in tech stocks.
These three big reasons!
Fear of Tariffs: Why did the stock market panic with Trump’s inauguration? There can be three big reasons behind this. The first of these is that the US President has indicated to impose tariffs on China, Canada and Mexico as soon as he arrives and has also given earlier statements regarding India. Let us tell you that Trump had earlier said that India is imposing higher tariffs on our goods and America can also take steps in response to this. If Trump takes such a step, it could prove problematic for Indian exports.
Rupee decline: Talking about the second reason, apart from this, the Indian currency Rupee is already making a record of continuous decline against the US Dollar and Trump’s policies can prove to worsen its health further, which will have a direct impact on the economy. Can be seen.
Trump’s stance on BRICS: Apart from this, the next reason is the American warning to BRICS countries. It is noteworthy that India is a founding member of BRICS and the countries included in it are in favor of breaking the dominance of dollar as a payment currency. After becoming the President, Trump has taken the BRICS countries to task and said that if they even think about acting according to his ideas, then 100 percent tariff will be imposed on them.