Market Ripples: Trump's Tax Cuts and Tariff Tussles

U.S. investors are reacting to President Trump's proposal to extend tax cuts while expressing concerns about tariffs and revoking a semiconductor subsidy. These measures affect the market, introducing volatility and causing major stock indexes to oscillate. The semiconductor decision could shift U.S. competitiveness and investment plans.

Investors are closely monitoring developments following U.S. President Donald Trump's recent address to Congress. In his speech, Trump reaffirmed his commitment to cutting taxes while also emphasizing a focus on tariffs.

This dual approach has led to market uncertainty. Trump's push to extend his 2017 tax cuts is well-received by investors, but the proposed tariffs on imports continue to stir volatility. Anthony Saglimbene of Ameriprise Financial noted concern over the lack of change in tariff policy.

The implications are already visible, with U.S. stock indexes experiencing a volatile session. Meanwhile, Trump's call to dismantle subsidies for semiconductor manufacturing could impact both domestic investment and global competitiveness, according to Charu Chanana of Saxo.

(With inputs from agencies.)