The economist who accurately predicted the 2008 Global Financial Crisis has revealed his market forecasts following recent events!

The White House announced with a surprise post made by President Donald Trump on X (, formerly known as Twitter), that mutual tariffs have been comprehensively suspended for 90 days while trade negotiations are ongoing and that tariff levels are reduced to a general 10%.

A White House spokesperson confirmed that “special negotiations will continue” and that during this period, tariffs in most sectors and countries will be limited to a base rate of 10% to take effect immediately. This temporary measure also includes important trading partners such as Canada and Mexico.

The White House stated in a separate announcement that this is part of a strategic realignment to promote a more constructive dialogue. However, the lack of clarity regarding the exact structure of the customs duties has led to confusion among economists and market participants.

Analysts did not delay in warning that this move could only provide temporary relief. Institutional analyst Chris Stadele said, “While the suspension of tariffs is good news, it is only valid for 90 days. This trade war is not over yet. Uncertainty can complicate the decision-making process for businesses that have planned months in advance.”

Stadele also pointed out that before the announcement, there was low trading volume in Emini S&P 500 futures on CME, suggesting that investors were hesitant to commit in either direction: “We do not yet know whether the market recovery is due to short position covering or genuine risk appetite.”

FX Executive Director Amarjit Sahota echoed similar concerns: “Markets may have reacted positively in the short term, but this 90-day delay brings more uncertainty. It seems more like a hasty political maneuver rather than a solid economic strategy.”

Steve Sosnick, Chief Market Strategist at Interactive Brokers, described the decision as a “surprise” especially in light of the previous firm stance of U.S. officials declaring that tariffs were non-negotiable: “Uncertainty has decreased but has not disappeared. Companies are now wondering whether tariffs will come back in 90 days.”

Economist Nouriel Roubini, who is often referred to as “Dr. Doom” for accurately predicting the financial crisis of 2008, warned that it is unlikely the FED will serve as a buffer for Trump’s tariff maneuvers. Roubini, stating that “there is a confrontation between Trump’s bottom and Powell’s bottom,” referred to political and monetary thresholds for taking action. “But Powell will wait for Trump to make the first move,” he said.

Roubini believes that contrary to the increasing expectations of multiple interest rate cuts in the market, the FED will likely keep interest rates steady.