BofA CEO Moynihan Predicts Trump Tariff De‑escalation by 2026; Average Rates Near 15%
Bank of America chairman and CEO Brian Moynihan told CBS’s Face the Nation he expects the Trump administration’s tariff campaign to de‑escalate by 2026, leaving average tariff rates for major trading partners near 15%. BofA estimates an average tariff of about 15.2% for key partners in its April/July reporting. Moynihan said tariffs disrupted U.S. growth — average U.S. tariffs rose from roughly 2% pre‑Trump to about 14% after the measures — but expects tension to ease and business pressures to shift toward labour shortages and immigration policy. The coverage also cites former White House economist Kevin Hassett, who expressed confidence in the tariffs’ legality before the Supreme Court and signalled support for a possible $2,000 tariff rebate check; analysts warn that adverse court rulings could force large refunds and market disruption. Traders should monitor USMCA reviews, Supreme Court rulings on tariff legality, and any fiscal moves such as rebate proposals. Possible tariff de‑escalation may reduce import‑cost inflation and supply‑chain uncertainty — a macro tailwind for risk assets — while legal and fiscal risks remain market‑moving. Keywords: tariffs, trade policy, Bank of America, tariff de‑escalation, inflationary pressure.
Neutral
Impact on cryptocurrency markets is likely neutral overall. Tariff de‑escalation by 2026 could reduce import‑cost driven inflation and lower macro uncertainty, which tends to support risk assets including crypto in the medium term. That represents a mild bullish macro backdrop. However, the announcement is forward‑looking (targeting 2026), and significant legal risk remains — a possible adverse Supreme Court ruling could trigger large refunds, fiscal disruption and short‑term volatility. Additionally, the story relates to trade policy and fiscal measures rather than direct crypto regulation or industry‑specific developments, so there is no immediate, direct catalyst for major price moves in specific tokens. Traders should watch macro indicators (inflation, USD strength), court developments on tariffs, and any large fiscal actions (rebate checks) that could temporarily boost liquidity and risk appetite. Short term: potential for muted risk‑on on positive headlines but also spikes of volatility on court or fiscal surprises. Long term: de‑escalation that lowers inflation and supports global growth is mildly supportive for risk assets, including crypto.