09-06-2025
Sector-Specific Tariffs a Bull Case for Markets: JPM's Yoder
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JPMorgan Global Wealth Management's Abby Yoder writing in this. The longer tariff implementation gets pushed out, the more likely we'll have to raise S & P 25 EPS growth. The longer implementation gets pushed out, the greater likelihood corporate America can mitigate the tariffs impact. And he joins us now for more. Have a good morning. Good morning. How much of that have we already price? Given we've had a 20% move off the April low? Well, so I think there are a couple of things. And I was when you were when you were talking to Annmarie, I was thinking about this like because you were saying, oh, is this move to de-escalation? Right. There isn't there isn't this thought process that they're going to go into these conversations and we're going to come out with like a higher effective tariff rate. Right. So I think that's important, right? Like the tail risk that that was there when we had, you know, Liberation Day and it was north of 25% implementation or effective tariff rate. That's kind of off the table. Right. And this is becoming, as you mentioned, like in your conversation with them, really a much more sector specific conversation. Right. And as the market starts to realize that, I think that becomes where you see more of a bull case. And I also think, look, there was a lot of de-risking heading into Liberation Day. I don't think, you know, positioning is back where like near all time highs. I think there's still a lot of length that can be out of there.
