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Trump threatens new tariffs on South Korea
Trade tensions return + Why futures are swinging
January 27, 2026
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Global supply chains face renewed uncertainty as tariff threats return.
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Good Morning, U.S. stock futures are swinging between gains and losses this morning after President Trump threatened fresh tariffs on South Korea. We break down why a delayed trade deal is causing friction, what it means for global supply chains, and whether this is a permanent move or just a negotiating tactic. If you are watching international markets, this is the story to read.Backlash from widespread business leaders over Trump’s aggressive Minneapolis immigration enforcement, amplified by the fatal shooting of a U.S. citizen during raids—adds economic and political pressure on Washington, while Trump’s $5.5 T “One Big Beautiful Bill” debt plan stirs fiscal risk concerns and investors pivot toward Chinese tech apps as AI strategy shifts Don't forget to voice your opinion in my polls below. Here are your Morning Bullets. – Truly yours, Fred Frost |
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🔭 What to Watch TodayToday’s calendar is packed with events that could sway markets, from Fed signals to geopolitical trade winds. Keep your eyes on these developments for potential ripples. |
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🔥 The Big BulletPresident Trump Threatens New Tariffs on South KoreaWhat happened: President Donald Trump announced he plans to raise taxes on products coming from South Korea. He stated he is increasing tariffs on South Korean goods because the country's national assembly has not yet approved a trade agreement framework. This delay has caused frustration for the administration. As a result, U.S. stock futures were swinging between gains and losses on Tuesday morning. Markets are reacting to the sudden return of trade tension. Why it matters: Tariffs function like a tax on imports, which can increase costs for American companies and shoppers. When major economies fight over trade rules, it makes investors nervous about future profits. Although Asian shares have mostly gained recently, this news adds a new layer of risk for global markets. Companies that rely on international supply chains often see their stock prices wobble during these disputes. It shows that trade deals remain a volatile part of the current economic landscape. What’s next: Traders will watch to see if South Korea’s leaders approve the trade framework quickly to avoid the penalty. Some experts suggest these threats should be viewed as prepositioning for better negotiating terms rather than final policy. Meanwhile, the U.S. is making progress elsewhere, as a trade deal between India and the U.S. is reportedly in an advanced stage. Investors should stay alert for official responses from Seoul in the coming days.
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Reader Feedback
Last time, I asked you: What do you think gold’s big jump is really saying right now?
The majority of you at 47% said "Investors are worried about what’s ahead"
Linda from Washington replied: ”I think gold is going up because people are nervous and worried about what might happen next."
Here's what I'm asking you today:
As always if your opinion is not here, or you want to throw your two cents at me, reply to the E-mail, and let me know your exact thoughts.
🧭 Policy & Market Ripples
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📜 This Day in History – January 27January 27 has a utility-grid sensibility: standards get written, creativity gets industrialized, and the “everyday” quietly becomes an engineered product. If you like your progress measurable, today delivers.
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Today's Trivia
87% of you chose the right answer to our previous trivia question: It allows living standards to improve over time
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