Trump tariff fallout: Navarro downplays sell-off, while Musk slams his qualifications;

Americans nearing retirement and recent retirees said they were anxious and frustrated following a second day of market turmoil that hit their 401(k)s, NBC News reported.

Some said they are pausing big-ticket purchases and reconsidering home renovations, while others said they fear their quality of life will be adversely affected by all the turmoil.

“I’m just kind of stunned, and with so much money in the market, we just sort of have to hope we have enough time to recover,” said Paula, 68, a former occupational health professional in New Jersey who retired three years ago.

Paula, who spoke on the condition of anonymity because she feared retaliation for speaking out against Trump administration policies, said she was worried about what lies ahead.

“What we’ve been doing is trying to enjoy the time that we have, but you want to be able to make it last,” Paula said Friday. “I have no confidence here.”

— Daniella Silva of NBC News

France could see a 0.5 percentage point reduction in gross domestic product growth as a result of U.S. President Donald Trump’s tariff policies, Prime Minister Francois Bayrou said in an interview on Saturday.

“Trump’s policies could cost us more than 0.5% of our GDP,” Bayrou said, according to excerpts published in an interview with Le Parisien newspaper.

“The imposition of these outrageous tariffs will lead to a global crisis (…). The risk of job losses is significant, as is that of an economic slowdown,” he said.

Under Trump’s plans announced on Wednesday, France will be subject to a general tariff of 20% along with other European Union countries.

After speaking with Britain’s Prime Minister Keir Starmer, President Emmanuel Macron said earlier on Saturday the two countries reaffirmed their determination to “closely coordinate” positions in tariff discussions with Trump.

“A trade war is in no one’s interest. We must stand united and resolute to protect our citizens and our businesses,” he said in post on X.

— Reuters

President Donald Trump may hope his tariffs jump-start a renaissance in manufacturing in the United States, but the reality is not so simple, according to experts.

Morgan Stanley analyst Chris Snyder said he thinks tariffs are a “positive catalyst” for reshoring but that he doesn’t expect a massive wave of projects returning to the U.S. in the near term. Right now, he sees small, quick turnaround investments that could boost output by about 2%, he said.

Consumer confidence has taken a hit — and that will be a factor in business’ decisions on whether and when they will reshore, said Manish Kabra, Societe Generale’s head of U.S. equity strategy. 

There also needs to be a significant investment in training America’s workforce, experts say.

— Michelle Fox

Silicon Valley’s early return from the Trump administration so far in 2026 has been plunging valuations and delayed IPOs.

The leaders of Alphabet, Amazon, Meta, Microsoft and Uber all made big donations — either personally or through their companies — to Trump’s second inauguration. Over the past two trading sessions, the seven most valuable U.S. tech companies lost a combined $1.8 trillion in market cap.

With Wall Street selling out of risky assets on concern that widespread tariff hikes will punish the U.S. and global economy, the fallout has drifted down to the IPO market. Online lender Klarna and ticketing marketplace StubHub delayed their IPOs due to market turbulence, just weeks after filing with the Securities and Exchange Commission, and fintech company Chime is also reportedly delaying its listing.

— Ari Levy

CNBC’s Jim Cramer on Friday said next week’s earnings reports will provide a first look at how CEOs are dealing with the fallout of Trump’s tariff plan.

Big bank earnings will kick off earnings season in the week ahead, and investors will also get to parse more inflation data.

No matter what the numbers reveal, however, Cramer said the market’s direction will depend on Trump’s next move. The tariff-driven market rout could end soon if Trump grants relief to trading partners, he said, or it could suddenly get worse as it did on Black Monday in 1987.

“If President Trump stays intransigent and does nothing to ameliorate the damage that I saw these last few days, I’m not going to be constructive here,” Cramer said.

Even if earnings do come in ahead of expectations, souring economic expectations due to tariffs have already punished their stocks and could continue to do so next week, Cramer said.

“Our only real hope is that the president comes up with something that can turn this bear into a bull,” Cramer said.

— Russell Leung

Where’s Trump? The president is golfing today at his club in Jupiter, Florida, as the market continues to reel from his sweeping tariff announcement.

The president flew down to his home state of Florida on Thursday, one day after he announced his “reciprocal tariffs.” He took part in a “LIV Dinner” for the LIV Golf tour on Thursday night.

On Friday, he went to Trump International Golf Club in West Palm Beach, before attending a fundraising dinner for a super PAC that backs Trump, MAGA Inc.

Trump on Saturday is golfing at his course in Jupiter, where the senior club championships are taking place.

The White House said that Trump “won his second round matchup of the Senior Club Championship … and advances to the Championship Round tomorrow.”

Democrats pounced on Trump’s trip to Florida amid the fallout from his tariff announcement, taking to social media to criticize the president.

“Recession fears are rising. The stock market is tanking. But don’t worry, Donald Trump is golfing,” Democratic Rep. Jason Crow (Colorado) wrote on X.

— Erin Doherty

The National Association of Wine Retailers said tariffs will have a material impact on the wine industry, resulting in significant revenue reductions, layoffs and business closings. 

“We have every reason to believe that the recently enacted tariffs on wines imported from other countries, as well as tariffs on other goods, will result in a significant contraction of the wine market in the United States,” the group said in a statement.

The association said the belief that wine drinkers will simply switch from European, South American, and Pacific nations’ wines to domestically-made wines is false.

“It is a fundamental misunderstanding of wine drinkers and the wine marketplace to believe that wine is a fungible product. … when an American wine drinker asks for Red Burgundy, they do not substitute Oregon Pinot Noir when the Burgundy is out of their price range or unavailable. They simply don’t make a purchase,” it said.

— Yun Li

Elon Musk on Saturday said he wants a “zero-tariff” system between the U.S. and Europe that would effectively create “a free trade zone,” Bloomberg reported. 

“Both Europe and the United States should move, ideally, in my view, to a zero-tariff situation,” Musk told Italian Deputy Prime Minister Matteo Salvini on Saturday during a virtual event. “That’s what I hope occurs.”

Salvini thanked Musk for his appearance in an X post.

— Annika Kim Constantino

Economists say that Trump’s tariff formula is based on an underestimation of a key metric, which has resulted in inflated tariff rates for countries nationwide.

According to the Office of the United States Trade Representative, the formula calculating Trump’s “reciprocal” tariff plan is the country’s trade deficit with the U.S., divided by its exports, then divided by two.

But that formula assumes an elasticity of import prices with respect to tariffs of about 0.25, but the economists say that that number should be closer to 1.0 (0.945), according to senior fellows Kevin Corinth and Stan Veuger at the American Enterprise Institute.

If Trump’s formula reflected this, no country’s tariff would exceed 14% and most would be at the 10% baseline established by the administration, according to AEI.

For instance, the tariff rate for Lesotho, the country with the highest rate, was 50%. But if adjusted, it would be 13.2%.

A group of high-profile tech and finance leaders is making a trip to Trump’s Mar-a-Lago resort in Palm Beach, Florida, to “talk common sense” to the president about his sweeping tariffs, several sources told veteran tech journalist Kara Swisher.

“Their million dollar donations to the inauguration is turning into billions and soon trillions in losses,” Swisher said in a post on Threads, not indicating which leaders are part of the group.

She added that de facto DOGE chief and Tesla CEO Elon Musk is “in their crosshairs too.” 

Trump’s tariffs sent global markets into a tailspin on Thursday and Friday, wiping out $30.9 billion in net worth for Musk, $23.49 billion…