WATCH: Top Democrats Melt Down, Vow To Investigate After Trump’s Stunning Switch-Up
In a shocking move that has rattled global markets, President Donald Trump announced a significant shift in U.S. tariff policy, prompting a swift backlash from top Democratic leaders. The president’s decision to pause tariffs for over 75 countries while simultaneously escalating trade pressures on China has drawn criticism and vows of rigorous investigations from congressional Democrats.
On Wednesday, markets surged after Trump’s announcement, which involved a staggering 125% tariff on goods from China. This bold maneuver, described by Trump as a checkmate against China’s economic strategies, aims to recalibrate global trade dynamics.
“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,” Trump stated in a post on Truth Social.
Simultaneously, Trump initiated a 90-day pause on tariffs for dozens of other nations. He expressed that these countries have not retaliated “in any way, shape, or form against the United States,” which prompted him to authorize a reduced reciprocal tariff of 10% during this period.
The dramatic policy shift did not gone unnoticed in the corridors of power, with Senator Elizabeth Warren (D-MA) and Representative Adam Schiff (D-CA) at the forefront of the opposition. Warren, known for her outspoken economic policies, did not mince words in her criticism of the president’s erratic trade policies.
“Understand, chaos is its own form of tariff. It costs everyone in the United States,” Warren said.
WATCH:
Sen. Elizabeth Warren REACTS to Trump’s recent tariff announcement
REPORTER: “[What’s] your reaction to the tariffs being rolled back?”
WARREN: “Chaos is its own form of a tariff.” pic.twitter.com/7G6yOaakN6
— Daily Caller (@DailyCaller) April 9, 2025
“Donald Trump has proven that he doesn’t understand how to drive a big economy and that he is perfectly willing to wreck the kind of cost that Donald Trump has already imposed on this economy even if he rolled back all of the tariffs tomorrow,” Warren continued.
The senator also raised concerns about the potential for rapid policy reversals, questioning what might come after the 90-day pause. “5% tariffs? 1,000% tariffs? Nobody knows. And that is a real problem for American workers. It’s a real problem for American businesses. It’s a real problem for American consumers,” she added.
Adding to the Democratic response, Rep. Adam Schiff (D-CA) announced his intention to investigate potential insider trading linked to the tariff announcements.
“I’m writing to the White House to demand who knew in advance that the president was going to once again flip-flop on tariffs. And are people cashing in?” Schiff questioned.
BREAKING: Senator Adam Schiff says he will be investigating if there was insider trading with the Trump announcement on pausing tariffs.
Not much of a secret when the president tweets to the entire world to “BUY” 3 hours before the announcement.
“I’m writing to the White… pic.twitter.com/7ZJxgoQRSf
— Collin Rugg (@CollinRugg) April 9, 2025
“I think Congress should do an investigation into this but we’re gonna demand the answers from the administration,” Schiff remarked, hinting at the potential for stonewalling but asserting, “This will come out.”
On Wednesday U.S. stock markets roared back to life, posting one of their biggest single-day rallies in recent memory. The move came after a week of mounting market volatility and economic uncertainty sparked by sweeping trade restrictions unveiled just days earlier.
Investors responded with enthusiasm to the tariff freeze, sending all three major indexes sharply higher. The Dow Jones Industrial Average surged 2,962 points, or 7.9%, to close at 40,608.45, notching one of its largest point gains in history.
The S&P 500 soared 9.5% to 5,456.90, marking its best percentage gain since the 2008 financial crisis. Meanwhile, the Nasdaq Composite led the charge with a 12.2% jump, finishing at 17,124.97—its strongest single-day gain since 2001.