Your next guest says that these tariffs could potentially have a big impact, but for now he's still bullish on the group overall. So, Vaml Devon is senior farmer analyst at Guggenheim Partners joins us now. Vaml, it's great to have you.>> Yeah, thanks so much for having me. >> Okay, so devil's in the details as I said before the break uh on these tariffs. How many of these big pharmaceutical giants are already building out manufacturing capability here in the US.>> Yeah, almost all of them honestly. So I th ...

Core Viewpoint - The president's tariffs on foreign drugs and furniture are based on national security laws, which are not currently challenged in ongoing lawsuits [1] Group 1 - The tariffs are applied to foreign drugs and furniture, indicating a strategic approach to trade policy [1] - The reliance on national security laws suggests a potential shift in how trade regulations are enforced [1] - Current lawsuits do not encompass these tariffs, highlighting a legal gap in challenging such policies [1]

But is the data reflecting the inflationary impact of tariffs. Let's discuss with Joe Leavourne, counselor to Treasury Secretary uh Bessant and here on set with me. It's great to see you, Joe. >> Great to be here.Thank you. >> All right, so inflation data that we got this morning. Core PCE basically in line with the month prior and actually we saw the month before that revised lower as well.What is that telling us. >> Actually, I like to look at the goods piece because that's where the tariffs would show up ...

Inflation and Tariffs - The inflation data indicates that core PCE is in line with previous months, with revisions showing lower figures [1][2] - Goods prices have only increased by about 5% to 6% since President Trump took office, with tariff effects showing an increase of well under 2% [2][6] - Ken Griffin from Citadel suggests that the inflationary impact of tariffs has only passed about 50% through the economy, indicating that further inflation is expected [3] Consumer Impact - There has been virtually no inflation in sectors like autos, clothing, and pharmaceuticals since April, although this may change in the future [5][6] - The relative price of imported goods is down compared to other products, suggesting that concerns about tariffs may be overstated [6][7] - The consumer is expected to bear the cost of tariffs, contrary to the belief that exporters or importers would absorb them [4][7] Economic Growth Indicators - Consumer spending numbers are strong, with GDP growth projected at around 4% following nearly 4% growth in the previous quarter [10][11] - The benefits from the tax bill have yet to be fully realized, but there is an expectation of increased consumer spending as wages grow faster than inflation [11][12] - The "real blue-collar wage boom" shows growth exceeding 1%, marking the fastest eight months of any president in history, contributing to increased consumer spending [12] Tax Legislation and Digital Economy - Recent tax legislation allows for early access to funds for consumers, particularly benefiting those in the service industry through changes in tip taxation [14][15] - The legislation also includes provisions for digital asset creators, such as YouTubers and podcasters, reflecting a shift towards accommodating the 21st-century economy [16]

And meantime, we're getting some more clarity on the newlyannounced tariffs. Let's get to Aean Jabvers with that story. Aean.Yeah, Melissa, this is an important clarification from the White House on the tariffs that the president announced last night. The White House is telling me that any country that has a trade deal with the United States where they got a specific carveout for a specific type of import uh to be protected or capped in terms of the tariffs. Those carveouts and caps will apply to the tariff ...

Group 1 - President Trump announced a 50% tariff on kitchen cabinets and bathroom vanities, and a 30% tariff on upholstered furniture, effective October 1, 2025, citing a "large scale FLOODING" of these products into the U.S. as a national security threat [2][6] - The U.S. imported $44.4 billion in furniture and fixtures in 2024, including $6.4 billion in upholstered household furniture and at least $8.2 billion in wood cabinets [3] - Furniture stocks reacted to the tariff announcement, with companies that have significant domestic manufacturing, like MasterBrand and MillerKnoll, seeing their shares rise, while high-end retailers like RH and Williams-Sonoma experienced declines [1][9] Group 2 - MasterBrand's stock rose almost 6% following the tariff announcement, as the company operates 15 manufacturing facilities in the U.S. [5] - MillerKnoll's shares increased by 3%, with 75% of its square footage located in the U.S., and the company had already raised prices to offset tariff costs [8] - RH and Williams-Sonoma saw their shares drop by about 3% and less than 1%, respectively, as they both engage in some domestic upholstery work [9][10]

Core Viewpoint - President Trump announced a 25% tariff on imports of foreign heavy trucks, aiming to protect American truck manufacturers, which may have mixed implications for companies like Paccar [1][6]. Group 1: Tariff Announcement - The tariff will take effect on October 1, 2025, and is intended to shield manufacturers such as Peterbilt, Kenworth, Freightliner, and Mack Trucks from foreign competition [1]. - Paccar manufactures two of the brands mentioned (Peterbilt and Kenworth) and has a significant stake in the domestic truck market [2]. Group 2: Manufacturing Operations - Paccar's brands, including Peterbilt and Kenworth, have both domestic and international manufacturing operations, complicating the impact of the tariffs [3]. - Freightliner is owned by Germany's Daimler and has production facilities in both the U.S. and Mexico, while Mack Trucks is owned by Sweden's Volvo and has operations in the U.S. and Mexico [2]. Group 3: Investment Considerations - Paccar's stock is currently valued at 16.2 times trailing earnings and offers a 4.5% dividend, with earnings expected to nearly double over the next four years, making it an attractive investment option [4]. - Despite the potential impact of tariffs, Paccar stock is viewed as attractively priced [6].

Tariff Announcements - Former President Donald Trump announced new tariffs, including a 100% tariff on imported branded and patented pharmaceutical products, a 50% tariff on kitchen cabinets and bathroom vanities, a 30% tax on upholstered furniture, and a 25% levy on heavy trucks, effective October 1st [2][3][4] Pharmaceutical Sector Impact - Asian pharmaceutical stocks experienced declines, with Japan's Topix pharmaceutical index down 1% to 1.2%, and South Korea's SK Biopharmaceuticals shares falling 2.7% to 3.6% [3][4] - In India, the Nifty Pharma index plunged 1.81% to 2.45%, with Sun Pharma losing 2% to 2.55% and Wockhardt tumbling over 9% [4] - European pharmaceutical shares had a muted reaction, with Novo Nordisk slipping 1.9% to 3.49%, while Novartis stated the tariffs would have "no impact" due to a $23 billion investment in U.S. infrastructure [5] U.S. Pharmaceutical Companies - American pharmaceutical companies saw gains, with Eli Lilly rising 0.9% to 1.3% and Pfizer adding 0.2%, benefiting from the 100% tariff on imported drugs [6] Home Goods Sector Reaction - The home furnishings sector reacted negatively, with RH shares falling 2.6% to 5.4% and Wayfair initially slipping 3.5% to 6% but later recovering to a 0.9% gain [7][8] - American-based furniture manufacturers like La-Z-Boy and Ethan Allen Interiors saw gains due to the tariffs [8] Heavy Trucks Sector - The 25% tariff on heavy truck imports benefited American truck maker Paccar, whose shares surged 5% to 6%, while European counterparts like Daimler Truck and Traton saw declines [9] Broader Market Reaction - Despite the tariff news, the broader U.S. markets showed resilience, with the Dow Jones Industrial Average gaining 369 points (+0.8%) and the S&P 500 rising 36 points (+0.56%) [11] - The overall market reaction was described as "modest," indicating that markets have adapted to tariff announcements over time [11][12]

Stock futures are slightly higher as investors prepare from a key inflation report and digest President Trump’s latest announcements on tariffs. Here's what you need to know today. https://t.co/7d606bNw2r ...

President Donald Trump’s new pharmaceutical tariffs won't apply to countries with negotiated agreements with the US that contain provisions on drugs, such as the European Union and Japan https://t.co/oATq7F4SNm ...