Wall Street just got a contact high from a “rumor” that turned out to be real, and it wasn’t even from Powell’s mouth for once, it came from Trumpworld’s new economic rockstars: Scott Bessent and Jamieson Greer, the two guys who just got handed the keys to the most radioactive diplomatic nuke on Earth: the U.S.-China trade war.

(Source: Giphy) 

If you recall, Trump nuked Chinese imports last month with 145% tariffs. China hit back with 125% on U.S. goods, because of course they did. Everyone and their intern knew this was headed toward another 2018-style “we’ll meet when hell freezes over” standoff. But now, we have Geneva. Bessent and Greer. Two days. Face-to-face with China. 

Which is a BFD in the land of the free and home of irrational markets. However, this isn’t a “hey let’s fix everything” meeting. Bessent himself said, “We’ve got to de-escalate before we can move forward.” Translation: no one’s signing sh*t yet, but we’re tired of setting the global economy on fire every other week just for X engagement. This is the pre-game talk. 

(Source: CNBC) 

And yet, markets still popped on the news because investors are like dopamine-starved squirrels at this point. S&P futures jumped the second the meeting hit the wires. Chinese equities rallied. Everyone lit a candle and prayed for a ceasefire. Because while the Fed’s still pulling heart strings with interest rates, the last thing traders want is two nuclear economies trying to out-stupid each other with tariffs until inflation needs a new decimal. 

Of course, this is what Trump wanted all along and Bessent and Greer are just the guys holding the briefcases. And while Trump’s the one who yanked the U.S. out of every multilateral agreement not nailed to the floor, he’s not necessarily wrong for doing so. American businesses aren’t begging to sell soybeans in Chengdu. Chinese firms want U.S. chips, U.S. cloud access, U.S. dollars. And the second Trump turned the tariff dial to 145%, Beijing blinked. Not because they’re weak. Because they’re bleeding. Chinese exports are tanking. Their real estate market’s one missed mortgage payment away from collapse. And now they’ve got to sit across from Bessent and pretend this is all very normal. 

(Source: Reuters) 

Bessent, by the way, isn’t your typical Treasury stooge. He’s not a policy wonk. He’s a fund guy. A Soros alum turned Trump loyalist with enough market IQ to move futures with a Fox News hit. He dropped the “de-escalation” hint on Ingraham’s show, and within minutes, traders were pricing in peace talks they didn’t even know were real. Chess moves in a checkers world, baby. 

So given where we’re at this moment, what’s next? Well, don’t expect a deal. Just expect a much clearer path forward than what we have now (hopefully). Maybe a joint statement. Maybe a promise to meet again. But what you should really watch is the tone. If Bessent and Greer walk out of Geneva saying “we had constructive talks,” that’s the signal. That’s when the algos go long semis, and the Street starts pricing in a tapering of tariffs by fall. But if China walks out and leaks to Xinhua that “the U.S. lacks sincerity,” we’re back to full-blown trade war cosplay.

(Source: Giphy) 

In the end, sure Bessent and Greer are there to wiggle their way into a solution, but what they are really there to do is buy time, lower the temperature, and maybe…just maybe…set the table for a 2025 deal that doesn’t involve economic self-harm as a negotiating tactic. Until then, enjoy the semi-rally today. Just don’t get too comfortable. I’m sure this movie still has a few explosions left. 

For now, keep your eyes on this story and place your bets accordingly, friends. Until next time… 

P.S. Oh, I’m sorry, I didn’t know you liked getting rekt. Let’s face it, retail investors get the short end of the stick all day everyday. It’s the smart money’s world, and we are just living in it–only useful when it comes to liquidity purposes in the market. Meaning, if you’re as pissed off as I was when I found out Milli Vanilli was lip syncing the whole time, then it’s time to go from investing blind, to investing smart. Luckily for you, the key is right here as a Stocks.News premium member. Click here to see exactly how our premium members are printing while others quake in the face of today’s market chaos. 

Stocks.News does not hold positions in companies mentioned in the article.