*Investors Blog*

[JeffKeryk]

Investors which I am one , don't give two poops what unfair tariffs do to this country. Talk about short-sighted they care about tomorrow's profits that's it . I'll put up with some pain to turn this ship around .

You understand that tariffs are a sales tax, right?

 

[Pablo]

I made some money today…


View attachment 271708

How many shares of SQQQ did you turn?

 

[JeffKeryk]

But, we went away from tariffs as the primary funder of the federal government in 1913 with the establishment of income tax. Basically, the burden until then was on the small guy, while rubber barrons never paid into it.
Since then, tariffs have almost exclusively surgically applied, except for the Smoot-Hawley Act, and we know how that ended, and this is what happened yesterday, which, by the way, is actually even more draconian than the Smoot-Hawley.

Exactly. The end game is tax breaks paid for by the tariffs.
Income tax breaks paid for by sales tax increases.

 

[Pablo]

Clearly the US was paying way too much. /Sarcasm

Yes USA was too low and have you shipped much into China, for example?

 

[JeffKeryk]

The tariffs will run their course in time. Almost every country needs the USA more than we need them. Canada is a like a poodle barking and biting at a pit bull. Some will end earlier, some will end later, but they will level out and volatility will decrease. Also, three Fed cuts are now much more likely through the rest of the year. After a tumultuous spring/summer, I look forward to a profitable fall/ winter and spring of 2026.

And what do you expect prices to do at that time? And what is your time frame? How many years? You understand that Canada and Mexico are huge trading partners and our allies, right?

And how long until the market recovers?

 

[JeffKeryk]

Today came off like a big sale day but you didn't need anything- a bit overwhelming and scattered.
I like patterns and this was anything but. Not thrilled with it all.

Except the sale has been going on for weeks.

 

[Zee09]

Yes USA was too low and have you shipped much into China, for example?

The totally unfair ePacket nonsense
They ship it here for pennies and we pay $35 if your item is even allowed to be sent to China.

Typical unfair trade practices to fleece the US consumer.

 

[SC Maintenance]

Today came off like a big sale day but you didn't need anything- a bit overwhelming and scattered.
I like patterns and this was anything but. Not thrilled with it all.

My pattern broke. So now I am a tiny bit lost.

I will wait and see - I bought some and I sold some. Back to the charts.

 

[gfh77665]

What are you buying or selling?

I invest long term (legacy) money. I did exit international stocks (25%) and SPX (25%), and bought Fidelity Blue chip growth, It will compliment my 50% large cap value funds. My rationale is, in a low volatility market index funds work well and have minimal expense.

Now, there has been wide disparity in sector performance, some have sold off disproportionally. Actively managed funds can identify and position themselves with the best new opportunities as opposed to buying holding indexes.

 

[Fitter30]

Exactly. The end game is tax breaks paid for by the tariffs.
Income tax breaks paid for by sales tax increases.

And we get to pay local tax on tariff tax that is built in to the product.

 

[Zee09]

I never was into them but I see partial share purchases seemed to go away on many apps. Robinhood pushed that in the early days and you could only sell at the market rate.

 

[gfh77665]

And what do you expect prices to do at that time? And what is your time frame? How many years? You understand that Canada and Mexico are huge trading partners and our allies, right?

And how long until the market recovers?

Absolutely no human being can accurately answer that. That's why I stressed its a long term opportunity. .

I would expect by years end things will look a whole lot different. I am an investor, not a trader, so I am fine with a recovery that takes even a year or two.

 

[loneryder]

Waiting for Amazon to go under $178.

Amazon is a big question mark. It's so involved in import goods>

 

[Pablo]

Absolutely no human being can accurately answer that. That's why I stressed its a long term opportunity. .

I would expect by years end things will look a whole lot different. I am an investor, not a trader, so I am fine with a recovery that takes even a year or two.

Just like no one has certainty 100% of the tariff $ will be flowed to the consumer

 

[PWMDMD]

Oh man if you only knew how low they actually were and how much trade it takes to trigger* some of them. Tariffs are a tax on consumers. The poor and middle class will bear the brunt of it. Yes, they may get a higher paying job but their purchasing power will not increase. Then largesse will set in as "protected" industries lose their competitiveness (ex, 1950-1960's US auto manufacturers). NVM that as Americans reduce their spending on imports the $$ in tariffs collected will also drop which means tax increases assuming of course that the tariffs revenue isn't redirected to "favored" industry who are getting crushed under retaliatory tariffs. Vote buying anyone?

*A tariff on US dairy into Canada has frequently been mentioned but people don't know that the tariff is rarely if ever triggered because the volume of US dairy moving into Canada is soo low.

Half of the sales needed to trigger that tariff have never been sold.

 

[Zee09]

Amazon is a big question mark. It's so involved in import goods>

And counterfeit goods.....

 

[loneryder]

Oh man if you only knew how low they actually were and how much trade it takes to trigger* some of them. Tariffs are a tax on consumers. The poor and middle class will bear the brunt of it. Yes, they may get a higher paying job but their purchasing power will not increase. Then largesse will set in as "protected" industries lose their competitiveness (ex, 1950-1960's US auto manufacturers). NVM that as Americans reduce their spending on imports the $$ in tariffs collected will also drop which means tax increases assuming of course that the tariffs revenue isn't redirected to "favored" industry who are getting crushed under retaliatory tariffs. Vote buying anyone?

*A tariff on US dairy into Canada has frequently been mentioned but people don't know that the tariff is rarely if ever triggered because the volume of US dairy moving into Canada is soo low.

Then why didn't prices go up in the previous term when tariffs were introduced??

 

[loneryder]

You understand that tariffs are a sales tax, right?

They are not. See previous term when tariffs were introduced. The sky is falling media were apoplectic then as they are now. Prices did not go up with the previous tariffs.

 

[ATex7239]

What’s that old saying, nothing in life is certain except death and taxes. I don’t recall stock market returns being on the certainty list.

 

[loneryder]

Exactly. The end game is tax breaks paid for by the tariffs.
Income tax breaks paid for by sales tax increases.

When did you become such an expert on tariffs?