Pres. Trump: China tariffs won't be anywhere near as high as 145%, but won't be 0%

Key Concepts:

• Federal Reserve Chairman Jay Powell
• Tariffs on China
• Trade Negotiations with China
• Impact on West Coast Ports
• Treasury Secretary's Comments on Tariffs
• Presidential Influence on Stock Market

1. Jay Powell and the Federal Reserve

• The President was asked if he intends to fire Jay Powell.
• President Trump stated he has "no intention" of firing Jay Powell and "never did have any intention to do that."
• He dismissed press speculation on the matter.
• The President aimed to send conciliatory signals to the stock market regarding the Fed.

2. Tariffs on China and Trade Negotiations

• The President believes tariffs will be "good for the country overall."
• When asked about negotiations with China, the President didn't provide specific details.
• The Treasury Secretary's earlier comments suggested that current tariff rates are "effectively an embargo on trade with China."
• The President agreed with the assessment that current tariffs are effectively an embargo.
• He indicated that tariff rates "are going to come down significantly," but "not to zero."
• He implied the rates would be "north of zero, but much lower than where they are now."
• The President asserted that "there is going to be a deal" with China.
• He expressed confidence in his relationship with Xi Jinping.

3. Discrepancy in Statements on China Talks

• Secretary Mnuchin stated earlier in the day that talks with China "have not started."
• The President avoided specifics on the status of talks, reiterating his confidence in a future deal.
• Reporters pressed for details on meetings, discussions, and offers exchanged, but the President remained vague.

4. Impact on West Coast Ports

• The President was asked about the impact of tariffs on West Coast ports.
• He believes the tariffs will ultimately benefit the country.

5. Presidential Influence on Stock Market

• The President seemed "eager to send the kinds of signals to the stock market that the stock market wants to hear right now."
• He aimed to appear conciliatory about the Fed and indicate he's in "deal making mode with China."

Synthesis/Conclusion:

The President sought to reassure the market by stating he would not fire Jay Powell and suggesting that a trade deal with China is likely, with tariffs eventually decreasing. However, there was a discrepancy between the President's and the Treasury Secretary's statements regarding the current status of trade negotiations with China. The President's comments appeared designed to positively influence the stock market.