By Caitlin McCabe

Elevated volatility and "continued pressure on asset prices" will likely continue until investors have a better understanding of U.S. trade policy, said David Solomon, Goldman Sachs's chief executive.

President Trump's 90-day delay on imposing so-called reciprocal tariffs has created more uncertainty for markets, not less, Solomon said.

"The level of uncertainty is high," he said in an interview on CNBC Tuesday. He said instituting a delay was a good decision because trade policy was moving very quickly, but added: "We still don't know what these deals are going to look like, where it's going to land and what the ultimate impact on business will be."

Solomon said businesses and individuals have pulled back on capital spending and planning until they have more certainty.

Solomon said investors were starting to retreat from U.S.-dollar assets "at the margin." Unwinding decades of American exceptionalism won't happen overnight, he said, but cautioned that "if we don't get to a policy place of certainty...it will have longer-term implications."

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(END) Dow Jones Newswires

April 22, 2025 09:28 ET (13:28 GMT)

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