NEW YORK — A false rumor suggesting that President Donald Trump was considering a temporary halt on tariffs briefly boosted stock market optimism on Monday, only to be quickly dismissed by the White House. This misinformation stirred uncertainty on Wall Street, where traders were already anxious over the potential impact of Trump’s tariffs on the global economy.
The confusion appears to have stemmed from a misinterpretation of remarks made by Kevin Hassett, the director of the White House National Economic Council, during an interview on Fox News earlier that day. When asked about a potential 90-day pause on tariffs, suggested by a hedge fund manager, Hassett replied, “I think the president is going to decide what the president is going to decide.”
However, a couple of hours later, numerous accounts on social media site X began sharing the misleading claim that Hassett indicated Trump was considering a pause on tariffs for all countries except China. Some traders and news outlets picked up the story, leading to a momentary surge in stock prices.
The Dow Jones Industrial Average managed to recover from a significant morning drop of 1,700 points, climbing more than 800 points before eventually settling downwards by 629 points. Similarly, the S&P 500 experienced erratic swings.
The White House appeared initially unsure about the situation, but after roughly 20 minutes, a government spokesperson rejected the rumors, labeling them as “fake news.”
