Trump Delays EU Tariffs Again, Markets React Sharply

Crypto & tech sectors face heightened uncertainty from tariff tension

President Donald Trump has again rocked global markets by announcing a delay in the imposition of 50% tariffs on European Union imports. Originally scheduled to begin on June 1, the tariff deadline has been put out to July 9, 2025, following what he termed as a "very nice call" with European Commission President Ursula von der Leyen. 

The announcement sparked quick reactions across financial sectors, with US stock futures surging and gold prices falling after an initial gain. Investor confidence is fragile in the face of ongoing trade uncertainty, and crypto markets and technology equities are becoming more volatile as important trade negotiations approach.

Donald Trump announced Sunday that he has decided to postpone a 50% tax on European Union imports until July 9, the latest instance of Trump declaring an impending tariff and confusing markets only to later reverse the threatened levies.   Trump stated that he and European Commission President Ursula von der Leyen had a "very nice call" that caused the postponement.

US stock market futures rise as President says he agreed to move the 50% EU tariffs from June 1st to July 9th.

However, on Sunday, He said that agreed to von der Leyen’s request. "I received a call today from Ursula von der Leyen, President of the European Commission, requesting an extension on the June 1st deadline on the 50% Tariff with respect to Trade and the European Union," Trump wrote on Truth Social. "I agreed to the extension — July 9, 2025 — It was my privilege to do so. The Commission President said that talks will begin rapidly."

Von der Leyen also posted about the call on X (formerly Twitter), saying she had a "good" phone call with the US President.

"The EU and US share the world’s most consequential and close trade relationship. Europe is ready to advance talks swiftly and decisively. To reach a good deal, we would need the time until July 9," she added.

He had previously called the EU “very difficult to deal with” which is also one of the largest trading partners for the US. According to US government data, the EU exported over $600 billion goods to the nation while importing goods worth more than $370 billion last year. 

Trump had previously expressed irritation on Friday, claiming that trade talks are not advancing quickly enough. He also threatened to impose sweeping tariffs of 50% beginning June 1.

Gold prices fell from a two-week high on Monday as US President set a July 9 deadline for a trade agreement with the European Union

Gold prices jumped more than 2% to a two-week high on Friday, boosted by safe-haven inflows after Trump proposed 50% tariffs on European Union goods beginning June 1, reversing his earlier warning of a 50% tariff beginning June 1.

He also imposed a 25% levy on any Apple iPhones manufactured outside the United States. 

Tariff announcements have a direct impact on the economy and industrial confidence. Crypto is one of the first areas to suffer losses.

Trump's fresh tariff talk is driving it. What's worse is that this is no longer simply about taxes or trade agreements; it's about trust, investor confidence, and market stability. With IT stocks plummeting and rumours of an approaching recession, the digital market space may experience a significant dip soon.  

 If the situation worsens, Bitcoin, Ethereum, and even popular tokens such as XRP may experience significant price drops. Other indexes and economic markets may see a dramatic drop. It's not just the tariffs themselves that create harm; it's the anxiety that goes along with them.