Weekly Roundup: Tariffs, Markets, and Tech in the Spotlight
Friday Vibes and Weekend Wisdom
Happy Friday! If you’re planning to hop into an Uber or Lyft this weekend and a Tesla pulls up, here’s a tip: steer clear of mentioning Elon Musk. Whether you’re a fan or a critic, chances are your driver would rather not engage in that conversation. After all, they might just tell you what they think you want to hear to score a better tip. So, keep the chat light and enjoy the ride!
The Tariff Tussle: Trump’s Trade Policy Takes a Pause
In a surprising turnaround, President Trump has hit the brakes on tariffs—again. Just two days after slapping a 25% tax on goods from Mexico and Canada, he announced a one-month delay on these tariffs under the USMCA trade deal. This move, which mirrors his earlier pause in February, seems to suggest that Trump’s tariffs might be more of a negotiating tactic than a permanent policy. However, while the delay provides some relief, it doesn’t apply to China, which has retaliated with its own tariffs. The markets are getting jittery, with fears of a recession growing. Stocks dipped on Thursday despite Commerce Secretary Howard Lutnick’s hint of a resolution. The S&P 500 closed 1.78% lower, while the Nasdaq dropped 2.61%. Experts warn that Trump’s tariff flip-flopping could strain relationships with US allies.
Markets on Edge: Recession Fears and Economic Uncertainty
The odds of a US recession have climbed to 32%, according to a betting market, up from 23% in late February. Wall Street economists point to Trump’s unpredictable policies as a key factor shaking consumer confidence. Meanwhile, the February jobs report is set to drop, which will influence the Federal Reserve’s interest rate decision on March 19. The fight over tariffs is far from over, with the delay for Canada and Mexico set to expire on April 2. Trump also has South Korea, India, and the European Union in his sights over what he claims are unfair trade practices.
Tech Talk: Quantum Computing, Streaming Struggles, and AI Innovations
The tech world is buzzing with some big developments. Microsoft is hyping a major breakthrough in quantum computing, but Amazon’s not buying it. The company’s head of quantum tech doubts Microsoft’s claims about its Majorana 1 chip. Meanwhile, streaming services are under fire for their confusing closed-caption interfaces. A petition is circulating to standardize captions, which could be a game-changer for the 63% of young Americans who prefer subtitles. On the AI front, a technique called “distillation” is gaining traction. It involves using one AI model to improve another, thanks to the wealth of open-source models available. This could democratize AI development, but big players may not be too thrilled about it.
Business Briefs: Senators Investigate X, Goldman Sachs Reshuffles, and More
In the business arena, Democratic senators are calling for a probe into Elon Musk’s X (formerly Twitter), alleging that Musk might be leveraging his political influence to pressure companies into advertising on the platform. Elsewhere, Goldman Sachs is trimming its workforce through a program called “Project Voyage,” which includes relocating employees to lower-cost cities like Dallas and Salt Lake City. Fashion app Doji is making waves with its AI-powered virtual try-on feature, backed by Reddit cofounder Alexis Ohanian. Social Security employees, meanwhile, are losing access to news and shopping sites at work as part of a crackdown on browsing habits.
Key Events and Other News
Keep an eye on these key events today: the Bureau of Labor Statistics releases the February jobs report, Federal Reserve Chair Jerome Powell speaks at the US Monetary Policy Forum, and President Trump addresses the White House Crypto Summit. In other news, AI is taking over the world—at least the bourbon world—in Kentucky, where Canada’s pulled local bottles off shelves. VC Kelly Barton is balancing investments with IRONMAN wins, proving that passion can pay off. And for tech job seekers, software engineers at Google, Microsoft, and more share their top tips for landing a coding gig. Stay tuned!
