U.S. President Donald Trump’s new reciprocal tariffs went into effect at the stroke of midnight on Wednesday. However, within hours of urging Americans to “BE COOL! Everything is going to work out well,” Trump announced a pause on those same tariffs for every country except for China, upending weeks of trade policy and rallying global markets.

On Wednesday afternoon, Trump posted on Truth Social that he had authorized an immediate 90-day pause on the higher reciprocal tariffs and lowered them to 10 percent for nearly all affected countries during that time period. Trump said the suspension was due to dozens of nations seeking trade negotiations with the United States.

For China, however, Trump said he was raising the additional duties to 125 percent, up from 104 percent. Earlier Wednesday, Beijing had retaliated for the 104 percent measure with countertariffs that totaled 84 percent, beginning on Thursday. It is unclear whether China will match the latest tit for tat, as it has over the past week.

Speaking to reporters at the White House shortly after Trump’s announcement, U.S. Treasury Secretary Scott Bessent clarified that the lowered measures for all other countries will not affect other tariffs that the Trump administration has already imposed, such as steel and aluminum duties, or other levies that are still coming down the pipeline, such as on lumber and pharmaceuticals.

It seems that global markets’ reactions to the new tariffs in recent days may have convinced Trump to back off, at least for now. When asked Wednesday afternoon why he decided to pause them, he said, “I thought that people were jumping a little bit out of line. They were getting yippy, you know. They were getting a little bit yippy, a little bit afraid.”

Read more in today’s World Brief: Trump Abruptly Pauses Reciprocal Tariffs for 90 Days—Except on China.