7 Smart Money Moves To Make Before Trump’s Next Round of Tariffs Hits
Written by
Kerra Bolton
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Amen Oyiboke
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Everyday consumers are feeling the effects of tariffs, from higher costs on common goods to renewed uncertainty in the markets.
Financial experts say that now is the time to focus on practical steps to stay resilient and protect your finances amid ongoing global cost pressures.
Here are seven smart money moves to make before Trump’s next round of tariffs hits.
1. Tighten Your Budget
Consumers are already feeling pressure from higher prices, and economists warn another round of tariffs could intensify the squeeze.
“Consumers are in a bind, and costs will likely be going up soon,” said Wayne Winegarden, an economist at Pacific Research Institute. “Managing your budget closely is going to be essential because affordability issues are only going to worsen.”
A tighter budget can help households weather those conditions. Reviewing recurring bills, trimming nonessential subscriptions, and boosting cash reserves now can make a meaningful difference if prices or borrowing costs rise further.
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2. Keep Cash Handy
As tariffs and trade tensions continue to influence global markets, investors may experience sharper price swings across stocks and commodities.
“Holding some cash or short-term Treasurys offers flexibility to rebalance when prices swing, turning uncertainty into opportunity,” said Christopher Stroup, founder and president of Silicon Beach Financial.
Short-term Treasury bills and high-yield savings accounts can also serve as low-risk places to park funds while earning modest returns, ensuring investors have liquidity available when markets stabilize or new opportunities arise.
3. Favor Domestic Producers With Pricing Power
Tariffs can add strain to global supply chains, increasing production costs for companies that depend heavily on imports. Experts said that investors can reduce exposure to those risks by shifting slightly toward businesses better positioned to manage higher input costs.
“It can be smart to tilt portfolios toward domestic producers or companies with strong pricing power that are better positioned to pass on cost increases,” said Andrew Latham, a certified financial planner and content director at SuperMoney.
Latham added, “That said, I recommend staying focused on long-term goals aligned with your risk tolerance. If you have a low-cost, broadly diversified index-based portfolio, you don’t need to react to every short-term market event like tariff changes.”
4. Revisit Investment Assumptions
Rising trade costs and renewed tariff pressures can quietly reverberate through prices across the economy, affecting both consumers and investors. Experts say it’s essential to remain vigilant about how these trends may influence future returns.
“If tariffs reignite inflation or prolong supply-chain challenges, investors should revisit assumptions around expenses and long-term returns,” Stroup said. “Inflation-protected assets, such as TIPS or real assets, can help preserve purchasing power.”
5. Diversify Your Investments
Markets often react quickly to successive rounds of tariff headlines and global trade uncertainty. Investors who take a long-term view can reduce stress — and potential losses — by ensuring their portfolios aren’t overly exposed to one region or sector.
“Investors should expect short-term turbulence as tariff headlines drive market sentiment,” Stroup said. “Diversifying internationally and maintaining exposure to sectors less sensitive to trade, like healthcare or technology services, can help cushion volatility.”
6. Use Gold as a Hedge
As another round of tariffs could add uncertainty to global markets, investors often look for assets that can preserve value when currencies or equities fluctuate. Gold remains one of the most reliable hedges against those pressures.
“Consider gold,” said Julia Khandoshko, CEO at the European broker Mind Money. “When trust in paper money begins to wane, it always seems to return. These days, it serves as a hedge against both policy uncertainty.”
A modest allocation in gold or similar hard assets can help balance risk and preserve purchasing power when global costs fluctuate.
7. Act Early To Avoid Higher Consumer Costs
When tariffs raise import prices, businesses often pass those increases down the supply chain and eventually to consumers. Experts said taking proactive steps before those costs filter through can help households and investors protect their budgets.
“The safest bet would be to refinance, rebalance, or make large purchases before the possibility of that tariff may be passed along to the consumer,” said Richard McWhorter, managing partner and private wealth advisor at SRM Private Wealth.
Addressing big-ticket expenses and financial adjustments early allows consumers to lock in current rates and prices, rather than absorbing higher costs later.
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