Analyst: The key is how high the U.S. tolerance for economic pain is.

Jin10 data on April 3 reported that Adam Hetts, Global Head of Multi-Asset at investment firm Janus Henderson, stated that high tariffs between countries are a negotiating ploy, which will keep the market in a state of tension for the foreseeable future. Fortunately, this (high tariffs) means there is still a lot of room for drop, despite the 10% Benchmark tariff still being in place. The biggest question now is how much pain the U.S. government is willing to tolerate as negotiations unfold. Meanwhile, this week’s ISM services and US Non-farm Payrolls (NFP) will be closely followed, as any substantial weakness in these areas would raise concerns about an economic recession.