Listen and subscribe to Opening Bid on Apple Podcasts, Spotify, Amazon Music, YouTube or wherever you find your favorite podcasts. The world's CEOs would like to put big money to work and yearn for Trump's global trade war to be over. They do, however, welcome signs of progress. "CEOs are relieved [following the latest US-China trade truce]," former Medtronic (MDT) CEO Bill George told me on Yahoo Finance's Opening Bid podcast (see video above or listen below). "I think CEOs are eager to invest. I think the market is eager to see them invest too. I think the response to the market since the news would be a clear indication of let's stop this tariff foolishness. And let's get back to building the country." George turned around the medical devices player Medtronic as its CEO over a 10-year span. He also sat on the boards of Target (TGT), ExxonMobil (XOM), and Goldman Sachs (GS). He's seen as a leadership expert, which he leans into as an executive fellow at Harvard University. CEOs got a dose of positive news this week. The US and China agreed on Monday to ratchet down the tariff war for 90 days as each economy begins to feel the pressure of bruising penalties. After a weekend of high-level meetings in Switzerland, the US will reduce "reciprocal" tariffs on goods from China to 10% from 125%. A separate 20% tariff imposed by Trump over what he says is China's role in the fentanyl trade will remain intact. Meanwhile, China cut its retaliatory tariffs on US goods to 10% from 125%. Read more: The latest news and updates on Trump's tariffs Stock markets have soared since the news. But the coast is hardly clear for hard-charging CEOs. First, the 30% tariff on China continues to be higher than it has been historically, and where Trump lands on them during the next 90 days remains wildly unclear. "Well, I don't think it [the trade war with China] will ever quite be over, but what will be over are these tariffs up over 100%," billionaire businessman and longtime Trump confidant Wilbur Ross told me on Opening Bid. Meanwhile, the US economy continues to be mixed at best. First quarter GDP contracted 0.3%, which reflects the economic health prior to Trump's big-time tariffs. Real wage and salary income rose by only 0.9% year over year in March, well below the 3.3% year-over-year pace in real consumption growth, BCA Research chief markets strategist Peter Berezin pointed out. Read more: What Trump's tariffs mean for the economy and your wallet Watch more from the Opening Bid podcast What investors need to know during times of turbulence Why earnings estimates are a key market risk Why the bond market may not be in a crisis George said he's telling CEOs to be ready to deploy capital once more trade clarity emerges. Story Continues "It gets very hard [in these backdrops]. I would say right now, get ready to blast off, so to speak," George added. "Like there's a big game coming up. Get ready to launch, but you may want to hold on to your cash and your investment dollars for a while before you make those big moves." Three times each week, Yahoo Finance Executive Editor Brian Sozzi fields insight-filled conversations and chats with the biggest names in business and markets on Opening Bid. You can find more episodes on our video hub or watch on your preferred streaming service. Brian Sozzi is Yahoo Finance's Executive Editor. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email [email protected]. Click here for the latest stock market news and in-depth analysis, including events that move stocks Read the latest financial and business news from Yahoo Finance View Comments
Trump tariff 'foolishness' fully ending would be a relief for CEOs, former Medtronic CEO Bill George says
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