Washington Free Beacon senior writer Elizabeth Harrington said on Fox News Wednesday that markets aren't being punished by President Donald Trump's tariffs because the tariffs are targeted.
Host Charles Payne mentioned stocks are up big despite China vowing to retaliate against steel and aluminum tariffs imposed by the Trump administration.
"Nasdaq started today in record territory. The other major indices are not doing too bad. We're in the midst of earnings season, so far out of all S&P companies, only one negatively pointed to tariffs," Payne said.
"But the pundits keep telling us to be worried," Payne said. "Where do we stand?"
Harrington said markets are not reacting negatively because the "so-called trade war is very targeted."
"All these tariffs are very selective, things like water boilers and x-ray machines. They're not hitting consumer products yet because I think Trump and his administration are concerned about a negative impact on his base if they do start a wide range of tariffs that will affect consumer prices and make consumers have to spend more," she said.
She argued that the current tariffs put pressure on China in a selective way and show that the U.S. can go further if it wants to.
"Pretty reasonable stance, and I think the markets are reacting accordingly," Harrington said.