CNBC Daily Open: Wishing upon a meteor that tariffs won't cause inflation

U.S. President Donald Trump announced Tuesday that copper and pharmaceutical imports volition look tariffs of 50% and arsenic precocious arsenic 200%, respectively.

Following the news, the S&P 500, which deed aggregate grounds closes past week, crushed to a halt and closed mostly flat.

That said, it's a muted effect for specified hefty tariffs, suggesting investors are either brushing disconnected Trump's tariffs arsenic hollow threats, oregon discounting the effects they could person connected ostentation and the economy.  

Such complacency could beryllium a mistake, arsenic immoderate marketplace watchers person cautioned. It besides mirrors the White House's stance connected the effects of tariffs, which mightiness not beryllium a presumption investors privation to take.

On Tuesday, Stephen Miran, president of Trump's Council of Economic Advisers, told CNBC's "Squawk Box" that the likelihood of tariffs starring to higher prices is simply a "rare event" similar "pandemics or, oregon meteors oregon whatever."

"I don't mean to beryllium dismissive," Miran clarified. "All I mean to accidental is that prediction is difficult, and we should ever talk successful presumption of likelihood and possibilities."

For the record, there's a 0.004% accidental of an asteroid that volition alert adjacent Earth successful 2023 striking our planet, according to NBC News.

Global banal markets’ champion and worst performers successful a Trump-fueled 2025 — and wherever they’re headed

Global stocks person surged successful the archetypal fractional of 2025, adjacent arsenic U.S. President Donald Trump announced steep tariffs connected imports to the United States. The MSCI All Country World Index, which measures the show of much than 2,500 stocks from some developed and emerging marketplace equities, roseate astir 10% since the commencement of the twelvemonth to deed a grounds precocious connected July 4.

"The planetary commercialized warfare that the U.S. started has been, and volition proceed to be, the catalyst for this ex-U.S. outperformance," said Peter Boockvar, main concern serviceman astatine Bleakley Financial Group.

— Lee Ying Shan