The Cuban Missile Crisis has a lesson for today’s stock market as the next Trump tariffs could fuel a huge rebound, top Wall Street forecaster says

• The path during the Cuban missile crisis It can provide a template for how investors respond to the mutual messages of Donald Trump, according to Fundstrat Global Adviss Tom Lee, who has a strong busy record for the stock market expectations.

One of the most important Cuban missile crisis said that the overwhelming feeling of dread has settled on investors while they are ready in favor of the upcoming definitions of President Donald Trump, but the Cuban missile crisis can provide a road map for the huge apostasy.

Fundstrat Global Adviss Tom Lee, who has a recent record of the stock market expectations, told CNBC on Friday that his client expects a punitive tariff that would push many economies to recession.

But Trump’s suggestion that it will appear “flexibility” through the mutual tariff, which is scheduled for April 2, can indicate a less intense approach that may lead to some satisfaction.

“This seems to have already we have a positive scenario with these definitions, either it was mutually agreed or if it is mutual, it may be good for companies,” he told me. “I think it will work on its stage in the largest recovery centers of what we expect.”

He directed a parallel between the Cuban missile crisis, which sparked a nuclear war between the United States and the Soviet Union, and today.

Ultimately, the Cold War confrontation was resolved by President John Kennedy and Soviet leader Nikita Khrushchev after they agreed to withdraw nuclear missiles from Türkiye and Cuba, respectively.

Lee indicated that the US Securities Market reached seven days from the two -week crisis in October 1962, and regained most of its losses before the actual decision.

“So I think this is a decent template for today,” he said.

It is likely that some comfort will add mutual definitions. Bloomberg informed this weekend that they were formed to be more concentrated than the growing global attack.

Meanwhile, senior investors such as Cathy Wood and others in Wall Street warn of stagnation. But Lee has argued that the market does not indicate one, saying that investors are more paralyzed than pessimists, and a large gathering on April 2 can help in distress.

He added: “One of the things we have to take into account is that this commercial deal, if acceptable, can actually be a kind of complete issue of trade in the future.” “The United States will actually make more attractive again.”

Earlier this month, I gave me a future look at the upright securities, as I expected a 10 % -15 % jump this spring after the indexes hit a correction area on fears that the escalating trade war will kill growth.

The shares continued to decline over the next few days after its prediction, but since then it has launched a somewhat return.

After hitting its lowest levels on March 12, both S&P 500 and NASDAQ rose about 3 %. Last week, the shares also witnessed the first weekly gains after four consecutive declines, helped by Federal Reserve Chairman Jerome Powell in general on Wednesday, when the central bank kept fixed prices.

“There are increasing signs that we have already created a circulating bottom,” he told me on Thursday.

This story was originally shown on Fortune.com

2025-03-23 22:32:00