Trump's latest tariffs U-turn is sparking a global market rally — and reviving talk of the 'TACO trade'
CNBC·2026-01-22 12:26
U.S. President Donald Trump attends a reception with business leaders during the 56th annual World Economic Forum (WEF), in Davos, Switzerland, Jan. 21, 2026. Jonathan Ernst | ReutersTrump's latest retreat from a trade war has catalyzed an international asset rally — and revived investors' talk of "TACO" — "Trump Always Chickens Out." Speaking to CNBC's Joe Kernen at the World Economic Forum in Davos, Switzerland, on Wednesday evening, Trump said he'd walked back tariffs on European allies because he now ha ...