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If Donald Trump's Trade War Triggers a Stock Market Crash, History Says This Is the First Thing Investors Should Do

Historically, it's the No. 1 move to achieve long-term success during a bear market.

If Donald Trump's Trade War Triggers a Stock Market Crash, History Says This Is the First Thing Investors Should Do

Published August 26, 2026 · Category: Finance

Overview

Over the weekend, trade talks between U.S. and Canadian negotiators collapsed. President Donald Trump immediately slapped 50% tariffs on a wide range of Canadian products, including Canadian whiskey and hockey sticks.

Canadian Prime Minister Mark Carney said that Canada would match Trump's tariffs "dollar for dollar." In response, Trump further escalated the trade war by doubling tariffs on imported automobiles and auto parts from Canada to 50%.

Details

Unsurprisingly, the S&P 500 (SNPINDEX: ^GSPC) opened lower on Monday. The trade war comes at a fragile time for the market: More investors are bearish than bullish, according to data from the American Association of Individual Investors.

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Source

Originally published at www.fool.com.

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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.