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.
A U.S. spy drone withdrew from near Iranian airspace after being intercepted by Iranian F-14 fighter jets and reconnaissance drones, Iran’s Nournews reported on Monday, citing the country's Army Air Force.
Germany’s constitutional court has rejected last-minute legal challenges to a €500 billion ($546 billion) infrastructure fund proposed by conservative leader Friedrich Merz.
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Sweden’s deputy prime minister Ebba Busch has called on the European Union to amend its clean-tech funding rules to help bankrupt battery cell maker Northvolt secure a new owner.
The Trump administration on Monday announced that it had determined Maine’s educational authorities are in violation of federal law prohibiting sex discrimination, after allowing transgender girls to participate in school sports.
A U.S. spy drone withdrew from near Iranian airspace after being intercepted by Iranian F-14 fighter jets and reconnaissance drones, Iran’s Nournews reported on Monday, citing the country's Army Air Force.
Germany’s constitutional court has rejected last-minute legal challenges to a €500 billion ($546 billion) infrastructure fund proposed by conservative leader Friedrich Merz.
A deal that could reshape Ukraine’s borders—Donald Trump is pushing for a peace agreement with Vladimir Putin, suggesting land concessions and nuclear plant control may be on the table.
Sweden’s deputy prime minister Ebba Busch has called on the European Union to amend its clean-tech funding rules to help bankrupt battery cell maker Northvolt secure a new owner.
The Trump administration on Monday announced that it had determined Maine’s educational authorities are in violation of federal law prohibiting sex discrimination, after allowing transgender girls to participate in school sports.
The inside of a Herculaneum delicate & ancient scroll, unseen for nearly 2,000 years, has been revealed using Artificial Intelligence.
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President Donald Trump has vowed to respond to the European Union's counter-tariffs, escalating tensions over the U.S. steel and aluminum duties that have sparked a trade dispute between the two economic powers.
In Tuesday’s closely watched parliamentary election, Greenland’s pro-business opposition Demokraatit party took a commanding lead after over 90% of the ballots were counted.
Uzbekistan has announced the sale of state shares in three major automotive companies as part of its ongoing privatization efforts.
The National Bank of Kazakhstan is launching the Gold Coin project, a digital version of an investment coin, beginning on March 17, 2025.
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Uludağ, one of Türkiye’s oldest and largest soft drink brands, will receive a €25 million loan from the European Bank for Reconstruction and Development (EBRD) to finance investments in production lines and renewable energy capacity.
Reliance Jio will offer free IPL streaming to users recharging with ₹299 or more. The matches can be streamed on the new JioHotstar platform. The plan also includes a 50-day trial of Jio's broadband services, aiming to boost home internet dominance.
A U.S. spy drone withdrew from near Iranian airspace after being intercepted by Iranian F-14 fighter jets and reconnaissance drones, Iran’s Nournews reported on Monday, citing the country's Army Air Force.
Germany’s constitutional court has rejected last-minute legal challenges to a €500 billion ($546 billion) infrastructure fund proposed by conservative leader Friedrich Merz.
A deal that could reshape Ukraine’s borders—Donald Trump is pushing for a peace agreement with Vladimir Putin, suggesting land concessions and nuclear plant control may be on the table.
Sweden’s deputy prime minister Ebba Busch has called on the European Union to amend its clean-tech funding rules to help bankrupt battery cell maker Northvolt secure a new owner.
The Trump administration on Monday announced that it had determined Maine’s educational authorities are in violation of federal law prohibiting sex discrimination, after allowing transgender girls to participate in school sports.
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