Stocks Top Stocks Will Dominate Despite Tariffs—Including This One
Tom Yeung here with today’s Smart Money. Do you remember what happened on March 1, 2018? James Hackett probably does. On that day, the then-CEO of Ford Motor Co. (F) saw President Donald Trump announce a sweeping round of tariffs targeting steel (25% duties) and aluminum (10%) – two of the most essential raw materials for automakers. Over the following year, Hackett saw his company lose a fifth of its stock value – driven by a $750 million loss from tariffs and another $1.1 billion from broadly higher commodity prices. Many other importers saw even steeper declines. But to most investors, March 1, 2018, was relatively unremarkable. The broader S&P 500 would rise 5% over the next 12 months, and high-quality tech stocks like Salesforce Inc. (CRM) and Intuit Inc. (INTU) and Advanced Micro Devices (AMD) would rise 20% … 50%… even 100%. That’s because top companies can perform well despite interference from the top. These innovative firms make products that are so essential that no amount of trade wars or late-night presidential tweets can seem to derail them. Fast forward to today, and we’re watching history rhyme. Trump has returned to the White House, and tariffs are back on the table – this time in even bigger and broader forms. On Tuesday, tariffs on Chinese goods rose another 10%, while certain non-exempt goods from Canada and Mexico saw a 25% hike. (Yes, things have shifted since then, and they probably will again tomorrow.) Predictably, the headlines are full of doom and gloom. But for investors, there’s little reason to lose sleep over tariffs – just like in 2018. That’s because the most successful stock market stories of the next decade will have very little to do with Chinese imports, steel prices, or even the cost of eggs. Instead, they’ll be about companies that are reimagining the very foundations of our economy, and the ones that have discovered products so desirable that customers will put aside their economic fears to savor those products. So, in today’s Smart Money, I’ll share more about the industries and companies driving the next decade of wealth creation. And, most importantly, where you can find them.
https://investorplace.com/smartmoney/2025/03/top-companies-will-dominate-despite-tariffs-including-this-one/
