Donald Trump DEI initiatives
Donald Trump slapped a 125% tariff on China.

US President Donald Trump's straightforward advice to buy stocks minutes before the opening bell on Wednesday translated to huge profits for investors who followed his advice. Soon after, the billionaire announced a 90-day pause on the reciprocal tariffs, excluding China.

At 9:37 a.m. ET, Trump posted on his social media platform, Truth Social, 'This is a great time to buy!!!' His post ended with the letters DJT, which are the president's initials as well as the ticker for his company, Trump Media & Technology, the parent company of Truth Social, where he holds a majority stake.

As the benchmark indexes soared after the 90-day tariff halt, the DJT stock surged by 21.67% to close at £15.7 ($20.27) on Wednesday. Most US stocks gained yesterday after suffering historic losses for a week as investors breathed a sigh of relief, which was reflected in the CBOE VIX fear index dropping to 36.73 from dangerous levels above 60.

However, analysts and economists believe that recent market volatility could be sustained amid dynamic changes within the federal government. Many experts see potential global supply chain disruptions amid the escalating global trade war that could impact US GDP, lift inflation and consumer prices, lead to job losses, and deteriorate the earnings outlook for major US companies.

Here's How Much Investors Would Have Made If They Followed Trump's Advice

An investor who bought into the S&P 500 ETF Trust (SPY) or the DJT stock when Trump posted on social media would have netted huge returns as securities peaked in afternoon trading.

For instance, an investment of £774 ($1,000) in the DJT stock at 9:37 a.m. ET yesterday would have turned into £941 ($1,216) by the end of the session. The SPY, which tracks securities in the S&P 500, was at £382.67 ($494) at the moment of Trump's post and climbed 10.5% by the end of yesterday's session to £424.5 ($548), marking the biggest one-day gain since 2008. It means that an investment of $1,000 would have turned into £855 ($1,105).

The Tesla (NASDAQ:TSLA) stock, which is now influenced by federal decisions after Elon Musk's growing involvement with the Trump administration, jumped 22.69% yesterday to close at £210.86 ($272.20), implying a £175.7 ($226.9) profit on a $1,000 investment.

The Magnificent Seven stocks, which faced extreme selling pressure over the past week, also climbed markedly to return double-digit gains yesterday.

US benchmark indexes like the Dow Jones, S&P 500, and Nasdaq Composite climbed between 7% and 12% on Wednesday after Trump's reversal on reciprocal tariffs, which went into effect on Wednesday.

However, Trump didn't rescind the exorbitant tariffs on China. In a more recent post, Trump further increased the tariffs on China to 125%.

'Based on the lack of respect that China has shown to the World's Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately. At some point, hopefully in the near future, China will realise that the days of ripping off the USA and other countries, is no longer sustainable or acceptable.'

Disclaimer: Our digital media content is for informational purposes only and not investment advice. Please conduct your own analysis or seek professional advice before investing. Remember, investments are subject to market risks and past performance doesn't indicate future returns.

Originally published on IBTimes UK