President Trump has made a big splash in the world of politics with his tough stance on tariffs, but one expert says it's now time for him to use a more measured approach to economics to help Wall Street keep calm and carry on.
The president's use of surprise in naming and invoking tariffs has been effective in grabbing headlines, but since financial markets dislike above all else the risks of uncertainty, a more policy-based approach is needed for the near future.
That's according to money and investments expert Derrick Kinney, who says that if the Trump administration doesn't develop a clear economic policy and make it clear to Wall Street and the world, then "investment managers can't take action and it's going to end in frustration for hardworking investors" on Main Street.
Investors "need to know if something happens, here's the result they can expect," which is the purpose of economic policy.
That's needed now because "clearly, it's anybody's guess what direction the market will take right now."
“Traders are scared to hold positions overnight, and frustration with the market is widespread. Most people, especially those who’ve been burned recently, have little to no interest in getting involved right now," says Revere Asset Management portfolio manager Connor Bates.
And Kenney urges the Trump administration to develop a sound economic policy, especially with regard to tariffs.
"Well, currently China and the United States are playing a high-stakes game of chicken -- who's going to flinch first.
"And clearly China's not going to do it, and Trump can't do it, so what the market needs right now is some kind of certainty.