TechFlow news — On March 13, according to Jinshi Data, analysts from RBC Capital Markets stated in a report that investors are currently more concerned about downside risks to U.S. economic growth and deflationary pressures caused by tariff uncertainties, rather than higher inflation rates.
While tariffs may have inflationary effects in the long term, uncertainty surrounding their implementation could dampen demand in the short term, slow economic growth, and potentially trigger deflation.
"Given the global scope of retaliatory tariffs and their near-term potential negative impact on economic growth, this may be one reason for the recent underperformance in global and European equities (earlier this week)," they said.
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