Donald Trump has announced a 90-day pause to his controversial tariffs hikes on most countries, raising hopes the Australian stock market could bounce back. 

Trump announced the backflip on his trade strategy overnight following days of tense negotiations with global powers after the tariffs came in effect on the weekend.

The president said all countries which had not retaliated against the US with their own tariff increases would only face a blanket US tariff of 10 per cent, the rate already used on Australian goods, until July.

When asked why he ordered the pause, Trump told reporters: ‘People were jumping a little bit out of line. They were getting yippy.’ 

The announcement saw US stock markets quickly recover following several days of turmoil, which fuelled fears of recession.

Australian stockbrokers are holding their breath for the market to open at 10am in hopes of seeing a similar effect.

Australia’s retired baby boomers had the most to lose from the share market crash sparked by Trump’s tariffs.

The Australian share market on Monday lost $119billion in the worst session since the onset of Covid in March 2020, and although it rebounded in early trade on Tuesday, the benchmark S&P/ASX200 was at its lowest level since January last year.

US President Donald Trump (pictured) has announced a 90-day pause to his controversial tariffs hikes

US President Donald Trump (pictured) has announced a 90-day pause to his controversial tariffs hikes

The share market plummeted 14.17 per cent since peaking on February 14.

Volatile tech stocks fared the worst with ZipCo, Australia’s best performing stock in 2024, plunging by 26 per cent earlier this week.

Superannuation and other investment accounts weighted toward shares took a battering, sparking fears of a global recession.

While the overnight announcement was a relief for Aussies, China will not be spared from the bitter trade war with Trump promising to raise US tariffs on Chinese exports to 125 per cent, effective immediately. 

‘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 wrote online.

In response, Chinese leaders overnight called for Australia to ‘join hands’ with China to defend global trade.

It was the first time Chinese officials reached out to Australia since the beginning of Trump’s tariff terror.

However, Australian officials may not be inclined to lend China a ‘hand’ after it imposed an 80 per cent tariff on Australian barley and a 212 per cent tariff on wine in recent years.   

The US stock market is recovering from days of turmoil following Trump's announcements with AUstralian stockbrokers hoping for a similar result

The US stock market is recovering from days of turmoil following Trump’s announcements with AUstralian stockbrokers hoping for a similar result

Prime Minister Anthony Albanese on Wednesday laughed off claims from Trump that world leaders were sucking up to him in order not to be hit by huge tariffs on their exports.

The US President boasted that prime ministers and presidents have been grovelling up to him pleading to make a deal ever since he slapped sweeping tariffs on 90 nations, including Australia.

‘These countries are calling me up, kissing my ass… they are dying to make a deal,’ President Trump told a group of Republican donors at a dinner on Tuesday night.

‘They are, they are dying to make a deal. ‘Please, please, sir, make a deal. I’ll do anything’,’ he said as his audience laughed.

Mr Albanese insisted he’s not one of them and that he only deals with other countries, including America, ‘as an equal’ during a visit to Cairns, north Queensland.

‘That’s not the way I deal with leaders,’ Mr Albanese said.

‘I deal as an equal with countries that I engage with … the two conversations that I’ve had with President Trump are ones in which I stand up for Australia’s national interest.’

Trump’s bragging came amid a stock market meltdown in the US and across the world in response to tariffs ranging from 10 per cent imposed on Australia, to more than 100 per cent imposed on China.

Prime Minister Anthony Albanese (pictured) earlier laughed off claims from Trump that world leaders were sucking up to him

Prime Minister Anthony Albanese (pictured) earlier laughed off claims from Trump that world leaders were sucking up to him

The US stock market has lost trillions of dollars, and the Australian stock market has lost billions, since the tariffs were imposed amid fears of a global recession. 

Despite the values of shares tanking around the planet, Trump also boasted that he had the ‘most successful 100 days in the history of this country’.

More to come… 

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Read more at DailyMail.co.uk