It was not so bad for Mexico, for the moment. Financial analysts expected a drop in Mexico's stock market and a devaluation of the peso after the 25% tariffs went into effect The morning looked set to be a black Tuesday for Mexico, however, President Sheinbaum's government opted to wait before launching into a tariff war unlike her Canadian counterpart who openly threatened to cut off energy to the U.S. and retaliatory tariffs.
The peso started the day with a value of $20.90 per dollar and everything seemed that it would exceed 21, however, the Mexican government's calmness helped it to close at $20.50. It is worth mentioning that the dollar's value impacts the price of gasoline in Mexico and therefore inflation. In Mexico a dozen eggs costs $1.6 dollars while in NY the price per dozen is around $12.
In New York City, prices are notably higher, with reports indicating an average of around $9 to $10 for a dozen Grade A large eggs at many grocery stores. Some specific examples show prices reaching as high as $14.99 in certain NYC locations. Grok
In the U.S., investors were not pleased with the tariffs, but the performance of U.S. markets was not out of line with expectations.
Dow ends down 670 points, S&P 500 tumbles 1.2%, Nasdaq edges lower amid Trump's tariff turmoil
U.S. stocks finished sharply lower on Tuesday amid concerns that President Donald Trump’s tariffs — and retaliation from some of the U.S.'s trading partners — could put pressure on economic growth.
The Dow Jones Industrial Average lost 670.25 points, or 1.6%, to end at 42,520.99, its worst day in over a week. The blue-chip index fell more than 1,300 points over the past two trading days, logging its worst two-day decline since Dec. 18, according to Dow Jones Market Data.
The Nasdaq Composite fell 65.03 points, or 0.4%, to finish at 18,285.16. At its worst level Tuesday, the tech-heavy index slumped over 2.1% and into correction territory, defined as a 10% drop from an index’s recent high, according to Dow Jones Market Data. The Nasdaq then bounced back into positive territory in afternoon action, but still failed to maintain its footing heading into the closing bell.
The S&P 500 tumbled 71.57 points, or over 1.2%, ending at 5,778.15.
U.S. stocks on Tuesday failed to rebound following a sharp sell-off to start the week
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Trump again applied the "art of the deal" and Trudeau fell again. It is already rumored that a "new" USMCA is coming and this is what calmed the markets.
Canada, Mexico tariff deal could be in works, Lutnick suggests. Here’s what markets will watch.
Comments come as Trump prepares to speak to Congress on economic policies
A deal to roll back U.S. tariffs on Canadian and Mexican goods may be in the works, a top Trump administration official suggested Tuesday, as President Donald Trump prepared to give a major address to Congress.
Howard Lutnick, Trump’s commerce secretary, said on Fox Business:
“I think [Trump] is going work something out with them,” referring to Canada and Mexico. Lutnick noted he’d been speaking with officials from both countries “all day.”
A deal to roll back U.S. tariffs on Canadian and Mexican goods may be in the works, a top Trump administration official suggested Tuesday, as President Donald Trump prepared to give a major address to Congress.
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