Wall Street futures slipped and the dollar strengthened on Monday after President Donald Trump reaffirmed plans for 25% tariffs on steel and aluminium, fueling concerns over trade tensions and inflation.
Speaking aboard Air Force One, Trump confirmed that tariffs on all steel and aluminium imports would be announced on Monday, with additional trade measures following on Tuesday or Wednesday. The comments heightened concerns over a potential trade war, especially after German Chancellor Olaf Scholz warned that the European Union would respond "within an hour" if U.S. tariffs targeted European goods.
China is also set to enforce retaliatory tariffs on U.S. exports, with no breakthrough in negotiations between Beijing and Washington. Analysts predict that currencies of targeted nations will weaken against the dollar, allowing them to offset the impact of new tariffs and remain competitive in trade.
Markets are also factoring in the inflationary risks of new tariffs, which could limit the Federal Reserve’s ability to cut interest rates. Investors had already lowered their expectations for Fed rate cuts this year, following strong U.S. employment data.
Dollar Gains as Yields Rise
The dollar index rose 0.3% to 108.38, with the euro slipping to $1.0295 and the Australian dollar falling 0.5% to $0.6245. The yen remained steady at 151.32, as speculation grows over a potential Bank of Japan rate hike in the coming months.
Stock market futures turned negative, with S&P 500 futures slipping 0.2%, Nasdaq futures down 0.3%, and Nikkei futures falling to 38,415 from Friday’s close of 38,787.
Tariff Impact on Corporate Earnings
Concerns over trade policy uncertainty weighed on investor sentiment. Analysts at Goldman Sachs warned that the effective U.S. tariff rate could rise by five percentage points, reducing earnings per share by 1% to 2% in 2025.
Gold Prices Hold Near Record Highs
Despite a stronger dollar and rising bond yields, gold prices remained firm at $2,860 per ounce, after hitting a record $2,886. Reports suggest increased demand for physical gold shipments to the U.S. amid speculation that Trump could impose tariffs on the metal.
As markets brace for new trade measures, investors remain focused on inflation risks, Fed policy moves, and the impact of escalating tariff disputes on global trade flows.
Indian Prime Minister Narendra Modi is preparing tariff reductions ahead of his meeting with U.S. President Donald Trump, aiming to boost American exports and prevent a potential trade standoff. The move comes as Washington signals reciprocal tariffs on multiple nations, with India under scrutiny.
Investors are cautiously returning to the Middle East, betting on economic recovery and political stability following a fragile ceasefire and shifting regional dynamics. However, President Donald Trump’s proposal to take over Gaza has injected new uncertainty.
Three Venezuelan migrants detained in New Mexico have asked a federal judge to block their potential transfer to Guantanamo Bay, fearing indefinite detention at the U.S. military base. The men, who fled Venezuela seeking asylum, claim their prolonged detention violates U.S. law.
South Africa’s new land expropriation law has reignited tensions over land ownership. The legislation, which allows land confiscation in rare cases without compensation, has drawn both support and opposition, highlighting deep inequalities.
French President Emmanuel Macron has announced a €109 billion investment in artificial intelligence, positioning France as a key player in global AI development. Speaking ahead of the Paris AI Summit, he emphasized the need for international regulation to ensure responsible innovation.
Billionaire Elon Musk has stated that he is not interested in purchasing TikTok, despite speculation following U.S. President Donald Trump’s remarks suggesting he could buy the app.
'From economy to diplomacy, from trade to security, we need a new approach and a new global order to solve problems,' says Recep Tayyip Erdogan
President Donald Trump announced on Truth Social that he has ordered U.S. Treasury Secretary Scott Bessent to halt production of the one-cent penny, citing excessive costs.
The Taliban’s Ministry of Defense has condemned the Uzbek authorities for handing over to the United States a dozen military helicopters that were previously used in Afghanistan before the Taliban insurgents seized power in Kabul. Meanwhile, Trump administration demands the military equipment back.
The Sarandí stream in Buenos Aires, Argentina, turned bright red on Thursday for unknown reasons, raising concerns among authorities and residents. The waterway, which flows into the Río de la Plata, is under investigation to determine the cause.
Kazakhstan's Ministry of Transport has released the preliminary report on the investigation on Azerbaijan Airlines's flight J2-8243's tragic crash. Read excerpts from the report and watch AnewZ's complete coverage.
Uzbekistan’s flag carrier has announced airline’s plan to purchase a dozen of aircrafts from Boeing and Airbus, marking a significant milestone in upgrading and expanding its fleet.
Azerbaijan has halted activities of “Russian House” in Baku according to local media reports on Thursday, following accusations of espionage. This is being described as an escalation of tensions between the two countries.
Over a hundred demonstrators gathered in Atlantic City, New Jersey, on Monday, rallying in support of the Immigrant Trust Act. The proposed legislation aims to protect immigrants from deportation and expand their access to public services.
U.S. President Donald Trump said on Sunday he will introduce 25% tariffs on all steel and aluminum imports into the United States, on top of existing metals duties, in another major escalation of his trade policy overhaul.
The year 2025 is shaping up to be a pivotal period for commercial lunar exploration, with half a dozen missions slated to launch over the coming months. These ventures, led by private companies under NASA’s Commercial Lunar Payload Services (CLPS) program, mark a significant expansion of commercial
President Donald Trump announced on Truth Social that he has ordered U.S. Treasury Secretary Scott Bessent to halt production of the one-cent penny, citing excessive costs.
French President Emmanuel Macron has announced a €109 billion investment in artificial intelligence, positioning France as a key player in global AI development. Speaking ahead of the Paris AI Summit, he emphasized the need for international regulation to ensure responsible innovation.
RBI cuts repo rate to 6.25% for the first time in nearly five years to support growth amid cooling inflation. Markets react mildly as economists foresee further easing ahead.
Billionaire Elon Musk has stated that he is not interested in purchasing TikTok, despite speculation following U.S. President Donald Trump’s remarks suggesting he could buy the app.
'From economy to diplomacy, from trade to security, we need a new approach and a new global order to solve problems,' says Recep Tayyip Erdogan
President Donald Trump announced on Truth Social that he has ordered U.S. Treasury Secretary Scott Bessent to halt production of the one-cent penny, citing excessive costs.
The Taliban’s Ministry of Defense has condemned the Uzbek authorities for handing over to the United States a dozen military helicopters that were previously used in Afghanistan before the Taliban insurgents seized power in Kabul. Meanwhile, Trump administration demands the military equipment back.
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