Another day, another series of pronouncements from President Donald Trump, and the markets, ever the obedient (if slightly bewildered) puppy, wag their tails, then tuck them, then wag them again. The latest whirlwind of policy pivots and bold declarations has once more sent investors scrambling to decipher the tea leaves, or perhaps, more accurately, the Truth Social posts. From tariff truces to federal takeovers and the curious case of a chip CEO, it’s been a week that proves one thing: predictability is for the weak, especially when it comes to the Trump economy.
The Tariff Tango: One Step Forward, Two Steps Back, and a Gold Flip
Just when you thought you had a handle on the global trade narrative, President Trump extended the U.S.-China tariff truce by another 90 days. This eleventh-hour reprieve, announced on August 11, 2025, came mere hours before a potential snap-back to “triple-digit rates” on Chinese goods. The move, confirmed via a joint statement from the U.S. and China, temporarily defused a ticking trade bomb, allowing the stock market to take a collective, albeit shallow, breath. However, the major indices still closed lower on Monday, August 11, with the Dow Jones Industrial Average (DJIA) falling 0.45%, the S&P 500 (SPX) slipping 0.25%, and the Nasdaq Composite (IXIC) giving up 0.30%. Apparently, even a temporary truce isn’t enough to soothe all anxieties, especially with inflation reports looming.
The extension follows a period of intense tariff rhetoric. Earlier, the administration had floated the idea of a staggering 100% tariff on semiconductors made outside of the U.S., a move that would undoubtedly send shivers down the spine of every tech investor. Yet, in classic Trumpian fashion, policy can be as fluid as a summer breeze. Just days prior, he had threatened a 25% tariff on Mexico and Canada, and even an additional 10% on China. Goldman Sachs, ever the diligent bean counters, had already estimated that U.S. consumers were shouldering two-thirds of the existing tariff costs, suggesting that any new duties would simply be passed on to the average American. One might wonder if the White House has a dartboard for policy decisions, or perhaps a roulette wheel. The “Trump Always Chickens Out” (TACO) accusations, as one analyst put it, have not been as prominent recently, suggesting “calmer heads” might prevail for further extensions.
Then there was the curious case of gold. After a U.S. Customs ruling on Friday, August 8, 2025, suggested a hefty 39% tariff on large gold bars, the precious metal, typically a safe haven in uncertain times, saw its futures spike to a record $3,534.10 per ounce. The market reaction was immediate and, for gold bugs, initially quite profitable. However, by Monday, August 11, President Trump took to Truth Social to declare, unequivocally, “Gold will not be Tariffed!” Following this definitive (for now) statement, U.S. gold futures promptly fell 2.4% to $3,407 per ounce, with spot gold dropping 1.2% to $3,357. The market, it seems, can be both roiled and un-roiled by the same hand, often within a single news cycle. Analysts noted this exemption removes a “potential source of price uncertainty”, which is a polite way of saying the market just got whiplash from a presidential tweet.
Adding to the trade theatrics, President Trump also urged China to quadruple its soybean orders. While seemingly a straightforward agricultural plea, the underlying threat of “market volatility” if China doesn’t comply looms large. Meanwhile, the BRICS nations (Brazil, Russia, India, China, and South Africa) are reportedly “uniting against Trump’s tariff tactics”, proving that even economic adversaries can find common ground when faced with a common, well, tariff-happy, opponent. The global trade landscape under this administration remains a high-stakes poker game, where the rules seem to change with every hand dealt.
Corporate Collisions and DC Drama: The Unpredictable Hand of Power
Beyond the grand stage of international trade, President Trump’s direct interventions in corporate affairs continue to provide ample material for market observers. Take, for instance, the saga of Intel (INTC). Just days after publicly demanding the resignation of Intel CEO Lip-Bu Tan over alleged ties to Chinese firms, President Trump met with Tan on August 11, 2025. The meeting, which Trump later described as “very interesting,” appears to have de-escalated tensions. The market, ever sensitive to such presidential whims, reacted with immediate enthusiasm. Shares of Intel (INTC) jumped significantly on the news, rising as much as 8.3% earlier in the day on August 11, and closing up 3.7% in the regular session, then adding nearly 3% in extended trading. This surge came despite the fact that Intel’s stock had tumbled below $20 in pre-market trading just last week, following the initial “political drama” surrounding Tan’s China investments. It seems a presidential handshake, or at least a public softening of tone, can be more potent than any earnings report.
Not to be outdone, the situation with Nvidia (NVDA) and Advanced Micro Devices (AMD) also provided a fascinating glimpse into the administration’s unique approach to corporate engagement. Despite earlier restrictions on selling advanced AI chips to China, both companies reportedly agreed to an “unusual” deal: they will pay 15% of their revenues from Chinese AI chip sales to the U.S. government in exchange for export licenses. This “revenue-sharing deal,” as the Financial Times reported, is unprecedented. While Nvidia (NVDA) shares were “little changed” (+0.5%) or up 0.75% on Monday, August 11, after the news broke, and AMD (AMD) saw gains of around 1% or even 5.69%, the initial pre-market reaction saw both stocks fall (Nvidia down 1.4%, AMD down 2.6%). The market’s initial jitters quickly gave way to the pragmatic realization that some revenue is better than no revenue, even if it means cutting the government in on the deal. As one analyst noted, it’s “better to have access than not.” The administration, it appears, is now a de facto venture capitalist in the semiconductor industry, taking a cut of the action. This, of course, raises questions about where the line is drawn when the government becomes a direct beneficiary of corporate sales.
And then there’s Washington D.C. itself. On August 11, 2025, President Trump announced a federal takeover of the city’s police department and the mobilization of the National Guard, citing a “crime emergency.” This bold move, invoking a section of the D.C. Home Rule Act, was framed as a necessary step to “rescue our nation’s capital from crime, bloodshed, bedlam, and squalor and worse.” However, D.C. officials, including Mayor Muriel Bowser, were quick to point out a rather inconvenient truth: violent crime in the District had actually fallen 26% in the first half of 2025, and 2024 saw crime rates at their lowest in three decades. Mayor Bowser called the action “unsettling and unprecedented”, a sentiment likely shared by anyone trying to reconcile the rhetoric with the data. While this particular announcement didn’t directly move stock markets, it certainly added to the general atmosphere of unpredictable executive action that defines this administration.
Finally, the appointment of conservative economist E.J. Antoni to lead the Bureau of Labor Statistics also signals a desire for “honest and accurate” jobs reports, especially after the previous commissioner was reportedly fired because the job market “fell short of expectations” in July. One can only imagine the pressure on the BLS to deliver numbers that align with the prevailing narrative, adding another layer of intrigue to future economic data releases.
The Bottom Line: Expect the Unexpected (and Then Its Opposite)
In conclusion, navigating the stock market under President Trump’s influence remains an exercise in agile adaptation. Investors are constantly reacting to a barrage of announcements, often contradictory, that can send sectors soaring or plummeting within hours. The extension of the China tariff truce brought a temporary calm, but the underlying threats of new duties on various imports, from semiconductors to Indian goods, persist. The dramatic swings in gold prices, from record highs to sharp declines, perfectly illustrate the immediate impact of presidential pronouncements. Meanwhile, the direct engagement with corporate giants like Intel (INTC +3.7%) and the unprecedented revenue-sharing deal with Nvidia (NVDA +0.5%) and AMD (AMD +1%) highlight a new era of government involvement in corporate strategy. For those seeking stability, the Trump market is a challenging beast. For those who thrive on volatility and the thrill of the unexpected, it’s simply business as usual, albeit with a healthy dose of head-scratching and a constant need to refresh your news feed.
DISCLAIMER: We read Trump’s posts so you don’t have to. This is comedy meets market data, not financial advice. Not political advice either – we just like charts and chaos.
Elana Harper is a seasoned financial editor and market analyst with over a decade of experience covering global equities, economic trends, and corporate earnings. Known for her sharp insights, Elana specializes in making complex financial topics accessible to a broad audience. She now serves as the Senior Financial Editor at Stock Market Watch, where she oversees daily market coverage and political commentary.