Trump Tariffs Postponed, 7 Tech Giants Rise from the Abyss
Jakarta, CNBC Indonesia –The shares of 7 US tech giants dubbed the ‘Magnificent Seven’ have skyrocketed again after falling for several days. This follows US President Donald Trump’s decision to postpone the implementation of ‘retaliatory’ tariffs on many countries for 90 days.
The only one that remains hit by Trump’s crazy tariffs is China, which is now set at 145%, from the previous 125%, and initially ‘only’ 54%. However, Trump is still opening up room for negotiation for China and other countries before the final reciprocal tariff decision is made.
The postponement of reciprocal tariffs for many countries brings a breath of fresh air to 7 US tech giants. Reuters reported that the market value of the seven companies soared to more than US$1.5 trillion after the postponement.
However, the increase has not been able to erase the loss of market value of 7 companies of US$3.4 trillion since reaching a peak in late 2024.
A market value of US$2 trillion was lost instantly since last week when Trump first announced reciprocal tariffs on imports of goods from abroad.
At least, the overnight increase gave investors a reason to buy back shares of US giants. Before Trump’s announcement, US technology giants were also starting to shake due to investor concerns about the overflowing investment in AI infrastructure.
“Trump’s tariff delay is expected to give CFOs and COOs room to re-evaluate AI expansion plans that may have been delayed due to trade friction. The reason is, importing AI chips from Taiwan and South Korea was previously considered challenging due to tariff risks,” said Michael Ashley Schulman, chief investment officer at Running Point Capital, quoted from Reuters, Friday (11/4/2025).
“The AI ambitions of technology giants require large capital expenditures, cross-border talent, and dependence on complex hardware,” he added.
Shares of US tech giants Nvidia, Apple, Tesla, Microsoft, Alphabet, Meta and Amazon closed up between 9.68%-22.69% and pushed the Nasdaq up by more than 12%.
SOURCE : CNBC INDONESIA
