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- 📉 Trump Tariffs Trigger Sharp Stock Sell-Off
📉 Trump Tariffs Trigger Sharp Stock Sell-Off
Trade tensions spark massive market shockwaves, wiping billions in investor wealth overnight.
The Daily Yield
April 04, 2025 • Read time: 9 minutes
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📊 Market Pulse
Stock Markets:As expected, markets experienced significant volatility in response to President Trump's announcement of sweeping new tariffs under the "Liberation Day" initiative. (Article with details below) The Dow plummeted 1,679 points, a 4% drop, closing at 40,545.93. This marks its most substantial single-day decline since 2020. The S&P 500 fell 4.84%, closing at 5,396.52, erasing approximately $2.4 trillion in market value—the largest one-day loss since March 2020. The Nasdaq dropped 5.97%, ending at 16,550.61, with major tech companies like Apple and Amazon experiencing significant losses. The dollar weakened against major currencies, with the euro rising 1.74% to $1.1037, and the Japanese yen strengthening by 1.95% to 146.445 yen per dollar. Key Takeaways:
| Commodity Markets:The “Liberation Day” trade move triggered a sharp sell-off, led by energy and agriculture, while gold surged before cooling off. In energy, WTI crude collapsed 7.6% to $66.25, and Brent fell 6.9% to $69.60, hitting seven-month lows. The drop was fueled by Trump’s sweeping tariffs and OPEC+ boosting output, a one-two punch sparking fears of oversupply and a trade-induced demand crunch. Gold soared to a record $3,167, riding a safe-haven rally, before pulling back over 2% as broader market volatility took over. Central banks have been stepping up gold purchases to hedge against growing geopolitical risk and a weakening dollar. On the ag side, corn slid 8¢ to $4.49¾, soybeans tumbled 21¼¢ to $10.08¼, and wheat followed suit. The 54% tariff on Chinese goods, which includes ag imports, threatens to further disrupt U.S. export channels and weigh on grain demand. Key Takeaways:
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🚀 The Bulls and The Bears
Bullish Trends:
Record global wheat production. 🌾 The 2025/26 wheat crop is projected to reach a record 806.7 million tonnes, primarily due to production recoveries in the European Union and Canada. This increase is expected to meet rising global consumption demands. source
Strong U.S. corn planting intentions. 🌽 U.S. farmers plan to plant 95.33 million acres of corn in 2025, up from 90.59 million acres the previous year. This expansion reflects confidence in corn's profitability and may lead to increased supply. source
Bearish Trends:
Reduced soybean acreage in the U.S.. 🌱 Soybean planting is projected to decrease to 83.5 million acres, down from 87.05 million acres the previous year. This reduction could tighten supply and potentially support higher prices. source
Slow soybean sales in Argentina. 🇦🇷 Argentine farmers are selling their soybean crops at the slowest pace in a decade, anticipating potential currency devaluation and tax relief. This withholding of supply could impact global soybean availability. source
🔥 In Case You Missed It…
Trump announces “Liberation Day” tariffs.
⚠️ “Liberation Day” tariffs released by President Donald Trump aim to address trade imbalances and promote domestic manufacturing. The key components of these tariffs include a universal 10% tariff on all imported goods, effective Apr 5th. Additionally, higher tariffs on imports from specific countries, effective Apr 9th. While Canada and Mexico were initially considered for similar tariffs, they were not mentioned in the final announcement. source
Reciprocal Tariffs:
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💰 New York-based Ecovative secures $11 million to ramp up production of MyBacon, their mycelium-based bacon alternative. This funding will add new production lines and a food science lab to develop more whole-cut mycelium products. Their solid-state fermentation process, using hardwood chips, gives them a unique edge in the alt-meat market. source
🚙 Trump’s 25% tariff on imported cars kicked in Thursday, with car parts next by May 3. Bank of America says this could add $3,285 to U.S.-assembled vehicles. Even American-made rides aren’t safe, foreign parts drive up costs. Goldman Sachs warns fully imported cars could jump $5K–$15K. Buckle up, wallets. source
🛢️ Turns out, not everything is getting hit by Trump’s tariff train. He’s giving oil and gas a hall pass. Jacking up costs in a sector that fuels the U.S. economy (literally) isn’t exactly a vote-winner. This carve-out shows there’s method to the tariff madness, a little protectionism here, a little pragmatism there. source
📉 The March Ag Economists’ Monthly Monitor indicates that 62% of agricultural economists believe the row crop sector is currently in a recession. Factors contributing to this downturn include low commodity prices and high input costs, leading to concerns about farm consolidation and financial strain among producers. source
🇨🇦 In response to Trump’s 25% tariff on imported cars, Canadian PM Mark Carney slapped a matching 25% tariff on U.S.-made vehicles. Auto parts were spared to avoid further disrupting the deeply linked NA supply chain. Carney also unveiled a CA$2B support fund for impacted workers. source
🦄 Startup Spotlight
Colorado-based startup CoryPro Ingredients:
CoryPro is looking to commercialize two products: a guar protein concentrate with a “clean, light flavor, smooth texture in beverages and producing meat like texture when extruded,” and a highly soluble guar protein isolate suitable for high protein beverages, nutrition bars, and plant-based dairy products.
The Backstory: Self funded by CEO Robert Beausire & CTO Roi Wurgaft.
Key Innovation: Using protein-rich guar gum meal leftover from guar beans and looking to commercialize it as a plant-based protein option for human consumption.
Funding: Looking to secure $2 million to start manufacturing processes, secure self-affirmed GRAS (Generally Recognized as Safe) status in the US, and forge strategic relationships with customers.
🚀 The Big Picture
Space Cowboys: Satellites Are Now Herding Cattle
TL;DR:
- Satellite imagery lets ranchers track herd movement and pasture use.
- Helping prevent overgrazing and boosting pasture regrowth.
- The data feeds carbon credit programs and smarter insurance underwriting.
Turns out you don’t need boots on the ground when you’ve got eyes in the sky.
Ranchers in Australia and Europe are tapping into high-resolution satellite imagery to track cattle, monitor pasture health, and catch overgrazed zones before they turn into dust bowls. It's not just saving time, it's changing the game.
Companies like Cibo Labs and Pasture.io are feeding satellite data straight into apps that help farmers rotate herds smarter, optimize feed, and even qualify for carbon credit payouts. One rancher called it “cow-GPS, but from space.” It’s a quiet ag-tech revolution with global implications. From beef production to drought adaptation, satellite-powered decisions might soon steer the entire food chain.
Fact: Some satellites are sharp enough to spot individual cows from orbit. Moo-ving into the future, literally.
Did You Know? There are 2.1 million farms across the United States & in Canada roughly 189,874 farms. About 98% are operated by families, individuals, family partnerships, or family corporations.
Till next time,
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