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Stocks, bonds still down in April as investors brace for volatility after Trump tariff pause - MarketWatch

1. President Trump paused tariffs, causing market volatility and gains. 2. S&P 500 surged but is down 2.8% in April. 3. Investors are worried about inflation amid trade tensions. 4. Junk bond spreads widened, indicating market anxiety. 5. Short-term government bonds attract flows as risk aversion increases.

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FAQ

Why Neutral?

The pause on tariffs is positive but volatility remains high. Historical trade pauses have led to temporary gains but uncertain long-term consequences.

How important is it?

The article discusses tariffs that influence stock market performance impacting S&P 500 components and investor sentiment.

Why Short Term?

Immediate market reactions are evident, but ongoing trade uncertainties may destabilize in the coming weeks.

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