Trump's "Reciprocal Tariffs": Here's What Nike Investors Need to Know
President Donald Trump's imposition of what he considers "reciprocal tariffs" last week on virtually every other nation sent the U.S. stock into a historically steep sell-off as investors fret about the potential impacts those new import taxes will have on inflation and economic growth. The big uncertainty is how these tariffs and the trade war that they are triggering may reorder the global economy.Few U.S. stocks have been spared in the marketwide slump, but one that investors have been watching closely is footwear and athletic apparel giant Nike (NYSE: NKE), which was already slumping and trying to pull off a turnaround.Nike has long been an iconic brand, but the company has struggled recently. Over the last five years, shares are trading down by more than 36% (as of Monday). Nike's board, fed up with that dismal performance, lured company veteran Elliott Hill out of retirement to lead a turnaround effort. Hill started at Nike as an intern, then spent more than 30 years there, rising all the way to president of the company's consumer and marketplace division before retiring in 2020.Continue reading
President Donald Trump's imposition of what he considers "reciprocal tariffs" last week on virtually every other nation sent the U.S. stock into a historically steep sell-off as investors fret about the potential impacts those new import taxes will have on inflation and economic growth. The big uncertainty is how these tariffs and the trade war that they are triggering may reorder the global economy.
Few U.S. stocks have been spared in the marketwide slump, but one that investors have been watching closely is footwear and athletic apparel giant Nike (NYSE: NKE), which was already slumping and trying to pull off a turnaround.
Nike has long been an iconic brand, but the company has struggled recently. Over the last five years, shares are trading down by more than 36% (as of Monday). Nike's board, fed up with that dismal performance, lured company veteran Elliott Hill out of retirement to lead a turnaround effort. Hill started at Nike as an intern, then spent more than 30 years there, rising all the way to president of the company's consumer and marketplace division before retiring in 2020.
