CNBC：Many on Wall Street saw this ‘TACO’ coming as Trump’s

Markets

Many on Wall Street saw this ‘TACO’ coming as Trump’s brinkmanship starts to lose grip on market

Published Wed, Apr 8 20261:03 PM EDTUpdated 50 Min Ago

Yun Li@YunLi626

 

Key Points

• The “TACO” trade — TACO being shorthand for Trump Always Chickens Out — has increasingly shaped positioning.
• Each bout of geopolitical-driven selling has become progressively more muted since April 2025.
• The market’s growing confidence is also raising a new question: What happens if markets stop acting as a constraint on Trump?