In a shocking reversal, US President Donald Trump announced a surprise 90-day pause on tariff hikes for most countries overnight, causing a surge in global markets.

This move comes after a period of heightened trade tensions, particularly with China, and has raised questions about the future direction of US trade policies.

But while some see it as a step toward stabilising the global economy, others are concerned about the long-term implications of continued tariff uncertainty.

So what does this decision mean for the global trade environment? And could this decision signal a shift away from a possible recession?

On The Big Story, Hongbin Jeong speaks with Antonio Fatás, Professor of Economics at INSEAD to find out more.