Wall Street Coins 'TACO Trade' to Describe Trump's Tariff Tactics

Imagine a game where the president threatens to do something, like put tariffs on goods, which makes everyone worry and prices go down.

But then, the president backs down.

That makes prices go back up.

People on Wall Street noticed this pattern and created a name: "TACO trade" (Trump Always Chickens Out).

They buy when prices fall (because of the threat) and sell when prices rise (because he backs down).

It's like a roller coaster.

Some people make money, but it's not good for long-term planning because it could backfire if the president doesn't back down.