The financial markets opened this morning amid extreme uncertainty and concerns that trade tariffs, set to begin after midnight, could quickly escalate. But shortly after the markets opened, the trade narrative shifted on the announcement that tariffs on Mexico would be postponed for a month after Mexican President Claudia Sheinbaum agreed to send 10,000 soldiers to the border to focus on drug trafficking. This preliminary agreement hints at a willingness to negotiate and deescalates concerns of a lengthy global trade war (for now). It also illustrates how quickly this situation can evolve.

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