Sentiment Change – the market looks for a swift recovery after Trump’s new thinking on China

Mark Watson-Mitchell – 13.10.2025

Last Friday the market saw a massive sell-off as a reaction to US President Donald Trump declaring that he was inclined to put on a 100% tariff on China because of its piling up its rare earth interests.

The Dow Jones closed 1.90% off, some 878.80 down at 45,479.60, while the FTSE-100 was 0.86% lower, by 81.93 points closing at 9,427.47.

Yesterday reports were becoming clear that Trump changed his views on the 100% increase.

Could it have been influenced by the drastic drop of bitcoin values?

However, I can see that the FTSE-100 will stage a smart recovery today, while values of gold and silver should also bounce upwards again to record Highs.