Gold, Silver, And Equities All Rally After Trump Announces 90-Day Pause On Non-China Tariffs

(April 9, 2025 - Ernest Hoffman, Kitco News)

(Kitco News) – Markets witnessed an everything rallies as all the assets that had been beaten down in successive trading sessions following last Wednesday’s U.S. tariffs announcement shot higher on the news that – with the exception of China – they were on hold for 90 days.

“[B]ased on the fact that more than 75 Countries have called Representatives of the United States, including the Departments of Commerce, Treasury, and the USTR, to negotiate a solution to the subjects being discussed relative to Trade, Trade Barriers, Tariffs, Currency Manipulation, and Non Monetary Tariffs, and that these Countries have not, at my strong suggestion, retaliated in any way, shape, or form against the United States, I have authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately,” U.S. President Donald Trump announced on his Truth Social platform at 1:18 pm EDT.

“Based on the lack of respect that China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately,” he also wrote. “At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable.”

The news sent equity indexes soaring, with the S&P 500 and the Dow gaining 6% in 15 minutes, while the tech-heavy Nasdaq – which had suffered some of the most pronounced pullbacks in the last week – gained 6.5%. Precious metals prices had been performing very well before Trump’s surprise announcement, with spot gold already gaining over 3% to set a new all-time high of $3,099 per ounce just before the news hit the wires.

But even as the safe haven bid evaporated, driving the yellow metal down $50 in minutes, the rush of money back into markets quickly drove the price right back to within pennies of $3,100 by 3:40 pm EDT.

Silver also doubled its daily gain in the minutes after the announcement, with spot silver shooting above $31 per ounce for an increase of over 4% on the daily chart.

Speaking outside the White House moments after Trump announced the tariff pause, Treasury Secretary Scott Bessent said the whole thing was a ploy to make countries come to the table.

"We saw the successful negotiating strategy that President Trump implemented a week ago today – it has brought more than 75 countries forward to negotiate," Bessent told reporters. “Every country in the world who wants to come and negotiate, we are willing to hear you. We are going to go down to a 10% baseline tariff for them.”

"We are going to work on a solution with our trading partners," he said.

Bessent added that China was the exception, with the U.S. tariff rate on Chinese goods rising to 125% “due to their insistence on escalation.”

“It's about bad actors,” Bessent said, referring to China as “the biggest source of the U.S. trade problems.”

Spot gold last traded at $3,091.80 per ounce for a gain of 3.67% on the session, while spot silver last traded at $30.957 per ounce for a gain of 3.83% on the daily chart.