Will Trump’s Tariffs Actually Save the Day? Cathie Wood Thinks So!

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Ah, President Trump and his charming tariffs – a delightful cocktail of chaos and confusion. Markets quiver, investors tremble, and the world holds its breath. But wait, could this perfectly orchestrated storm actually be the harbinger of something unexpectedly brilliant?

Enter Cathie Wood, the ever-optimistic founder of ARK Investment Management, who views this uncertainty through a rather different lens. While the rest of the world seems to be hyperventilating, she’s busy polishing her crystal ball and predicting that these tariffs could, in fact, unlock a golden age for the U.S. economy. Who knew?

In a chat on Bloomberg Television on May 19, 2025 (don’t worry, we’ve all got the calendar marked), Wood laid out her rather rosy outlook: the tariffs Trump announced in April might just be the key to freeing up markets – yes, freeing them – and unleashing a flurry of fresh opportunities across various industries. Hold onto your hats, darlings.

Cathie Wood: Tariffs as a Gateway, Not a Wall

Now, while the general public and news outlets have been busy imagining walls (big, metaphorical ones), Cathie has a rather cheeky take. In fact, she claims these tariffs may very well reduce restrictions and open the floodgates of international trade. Because who doesn’t love a good floodgate?

“If that’s where we end up, darling, that’s a tax cut. A rather lovely one,” Wood remarked with the subtlety of a master.

To further support her theory, she pointed out the rather delightful example of the US-UK trade deal, which saw the tariff on UK car exports plummet from 27.5% to a mere 10%. Oh, how the mighty have fallen. And, Wood’s hoping that’s just the beginning of a lovely trend where international trade becomes a “two-way street.” How refreshing.

Tech, Healthcare, and Innovation: The Real Winners

Wood didn’t stop there – oh no. She’s got her eye on the big prize: technology, healthcare, and innovation. Sectors that could thrive when trade barriers are as absent as a good hair day.

Her firm, ARK Investment Management, is all about disruptive technologies like artificial intelligence, robotics, and genomics – the kinds of things that make the average person go “What now?” And, according to Wood, loosening the trade restrictions in these areas could speed up innovation faster than a caffeine-fueled Silicon Valley hackathon.

In the healthcare arena, Wood’s absolutely convinced that AI is the star of the show. With AI powering drug discovery and development, she believes the market is just starting to see the tip of the iceberg. And don’t you dare call her optimistic – she’s realistic. A reality of exponential progress, that is.

And when it comes to the rising US budget deficit? No worries. Wood’s got it figured out. The answer, darling? Innovation. “We can grow our way out of the deficit,” she quipped. Simple, isn’t it?

Why Investors Should Pay Attention to This Darling of the Market

Cathie Wood’s views may be a breath of fresh air amid the market’s whirling storm. She sees Trump’s tariffs not as a villain, but as an unlikely hero, capable of lowering trade barriers, boosting growth, and sparking innovation. It’s all about thinking beyond the immediate chaos and looking toward the long-term opportunities. Yes, darling, it’s a different way of looking at things.

Freer markets and cutting-edge technology – that’s the cocktail to sip on if you’re looking for new growth. Cheers!

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2025-05-19 16:08