According to @KobeissiLetter, the White House says President Trump is signing an executive order to reduce tariffs on beef, tomatoes, coffee, and bananas to lower grocery costs amid persistent food inflation (source: @KobeissiLetter). Lower import tariffs on coffee and bananas—products the U.S. largely imports—can reduce imported food costs and potentially trim the food-at-home CPI component, which holds a meaningful weight in headline CPI, if savings are passed to consumers (sources: USDA Economic Research Service; U.S. Bureau of Labor Statistics). Any moderation in food inflation would support expectations for easier Federal Reserve policy given FOMC guidance that policy depends on inflation progress, typically pressuring real yields and the U.S. dollar—conditions that have historically supported risk assets including BTC and ETH (sources: Federal Reserve FOMC; CME FedWatch). Near-term trading watch: ICE Coffee (KC), CME Live Cattle (LE), major grocery retailers (WMT, COST, KR), BRL and COP for key coffee exporters, alongside DXY, UST 2Y/10Y, and BTC/ETH spot and perpetual funding for positioning shifts on tariff headlines (sources: ICE; CME Group; USDA ERS). Note that tariff pass-through to retail prices is often partial and lagged, suggesting the CPI impact could be smaller than headlines imply (source: U.S. International Trade Commission).

According to Fox News, US stocks are surging after President Trump signed the US-China trade deal, which includes lower tariffs between the two countries (source: Fox News, May 12, 2025). This reduction in trade barriers is fueling investor optimism across equity markets, with major indices posting significant gains. For cryptocurrency traders, the improved macroeconomic climate may prompt a rotation of capital from safe-haven assets like Bitcoin into riskier equities, potentially leading to short-term price volatility in crypto markets. Traders should monitor cross-market flows and watch for increased altcoin activity as risk appetite recovers.

According to Cas Abbé, the newly announced US-China trade deal will see the US lowering tariffs on Chinese goods to 30% and China reducing tariffs on US goods to 10%, both for a three-month period (source: Cas Abbé, Twitter, May 12, 2025). This temporary reduction is expected to boost risk-on sentiment in global stock markets and crypto markets, as lower tariffs typically ease cross-border trade tensions. Traders should monitor for increased volatility in Bitcoin, Ethereum, and major altcoins, as well as U.S.-listed Chinese stocks, given the likelihood of improved liquidity and positive momentum tied to short-term relief in trade friction. The crypto market may experience a bullish reaction, particularly among tokens with exposure to Asian trade flows and those listed on exchanges sensitive to macroeconomic policy changes.

According to The Kobeissi Letter, the market is reacting positively to the significant reduction in tariffs on Apple's products, dropping from 145% to 20%. This drastic change is expected to influence $AAPL trading volumes and price movements significantly, as it reduces the cost burden on Apple, potentially boosting its profitability and competitive edge in the international market. Traders should closely monitor $AAPL for potential bullish trends following this news.

According to The Kobeissi Letter, tariffs on semiconductor and electronic imports have been reduced from 145% to 20%. This significant reduction is expected to lower costs for tech companies, potentially increasing their profit margins. Meanwhile, S&P 500 futures have risen by 30 points, indicating a mild positive reaction in the market. However, The Kobeissi Letter suggests that investors remain skeptical, as confidence in the market is still low. Traders should monitor these developments closely, as they could influence semiconductor stocks and broader market indices.