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Tariffs are biggest short-term risk to markets, strategist says

Stocks were pummeled on Monday on growing concerns that the economy may be slowing. There were also comments from President Trump and others in his administration acknowledging the economy may have to suffer a bit due to the administration's policies before it starts growing again.

Defiance ETFs, CEO, and CIO Sylvia Jablonski says the biggest short-term concern for markets are tariffs. Find out why in the video above.

To watch more expert insights and analysis on the latest market action, check out more Market Domination here.

This post was written by Stephanie Mikulich.

00:00 Speaker A

You're not the first person to come on today and say, you know, take a deep breath here. Don't. This is if you're a long-term investor, um, you should not be panicking in these markets. But I would ask what you are most worried about, where you do think the biggest risk resides here for this market?

00:23 Speaker B

Uh so, yeah, that's a great question. I I do think that undoubtedly there is risk with with these tariffs, right? So it's going to take time to see how that actually impacts the economy. Um geopolitics is another one. Some of these these, you know, um situations that we have going on, whether it's Russia and Ukraine or even the future of of the Middle East. We don't know how that's going to play out into markets. But I think I think in the shorter term, the biggest risk for me is is just tariffs and where we land with that. The market does not like that uncertainty. Um the upside of that though is that the thesis here is that all of these, you know, jobs and manufacturing are going to come back into the US and that's going to help real wages. It's going to increase jobs. It's going to, you know, increase GDP and things like this. But all of that takes time. So we just have to see kind of like what the timing is on all of the data and and, you know, all of these things kind of happening at once. I do think we need a Trump putt or a Fed putt or a tax cut. The market needs something positive and and I don't even think it's going to be inflation being directionally good anymore. I think it's bigger than that. So there's it's it's waiting for a positive sentiment and that's a tough thing to wait for.