US greenback climbs after Trump guarantees reciprocal tariffs

On Air Pressure One, the US President advised reporters that extra tariffs are coming.

He stated he’ll announce 25% tariffs on all imports of metal and aluminum on Monday. That is a professional menace and one thing he has the ability to do beneath present investigations/statues beneath Part 232. I do not doubt that is coming.

He additionally stated he would announce reciprocal tariffs on Tues/Wed on nations that tax US imports with them going into impact ‘virtually instantly’. That authority is very quesitonable, significantly in opposition to nations with commerce agreements with the US.

German Chancellor Scholz was requested about these tariffs and stated they might retaliate “in an hour”.

As for the market response, it is seen the US greenback climb 30-50 pips on numerous crosses, with commodity currencies struggling essentially the most. That measured response might replicate some skepticism that they are going to really be imposed.

Right here is AUD/USD, which is now down 30 pips on the day.

This text was written by Adam Button at www.ubaidahsan.com.



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