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US Tariffs Will Spark a Global Recession—But Not Where You Expect

US Tariffs Will Spark a Global Recession—But Not Where You Expect

❓Not Analyzed

Evidence:

  • US and EU Market Turmoil: The April 2025 stock market crash was triggered by broad, aggressive US tariffs, leading to significant volatility and declines in US and European equities.
  • Latin America’s Surprise Outperformance: Despite initial fears, Latin American equities (Brazil, Mexico, Colombia, Chile) have rallied over 22% year-to-date, partly due to a weaker US dollar and strong corporate earnings. Local markets are benefiting as investors seek alternatives to US-exposed assets.

Unique Take:

The conventional wisdom is that tariffs hurt everyone. In reality, by redirecting capital flows and supply chains, some regions—like Latin America—are unexpectedly thriving. This could mark a long-term shift in global investment patterns.

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