Stock Market Update- 3/2/18

It was a tough week for U.S. stocks. President Trump’s proposed tariffs on steel and aluminum hit the U.S. stock market hard.Here’s A Brief Economics LessonIn short, a tariff is a tax on imports that can be imposed by a particular country at any time.President Trump’s insistence on steel and aluminum tariffs could provoke other countries to impose unjustified tariffs on U.S. exports overseas. What does all of this mean? That U.S. consumers could potentially have to pay more for U.S. products that require the inclusion of aluminum and steel in their manufacturing process.Here’s the long and short of it: Because Wall St. is concerned about a major slowdown or economic recession triggered by steel and aluminum tariffs, over the last 72 hours stocks have been declining. This is why we always simultaneously sell, in and out of the money covered calls when trading stocks.I expect the next five days trading days to be very volatile.Stay Open! Stay Disciplined!Tyrone JacksonThe Wealthy Investor