U.S. companies are also still cautioning about how tariffs could affect their businesses. On Walmart 's ( WMT -1.35%) earnings call last week, CEO Doug McMillon warned about potential repercussions. President Trump responded on social media that Walmart makes billions of dollars in sales, and that it should "eat the tariffs." But can it?

President Trump felt "horrible" about the impacts of tariffs on China that hit American businesses in April, Commerce Sec. Howard Lutnick said at an Axios event on Wednesday. Why it matters: Lutnick said the pain was necessary — but he again insisted prices won't rise for consumers.

Under former President Donald Trump, U.S. tariffs have soared to their highest level in nearly 90 years, averaging 18%. This increase in import costs raises questions about the financial burden on American households and the broader economic implications.