Markets fled to safety Thursday as Trump escalated tariffs on China to 125%, triggering a surge in gold, yen, and bonds. Despite a brief equity rally, investor confidence in U.S. trade policy and the dollar continues to erode.
Financial markets witnessed a swift flight to safety on Thursday after U.S. President Donald Trump intensified his trade war with China, sharply raising tariffs while simultaneously suspending levies on other nations for 90 days. Investors flocked to safe-haven assets such as the Japanese yen, Swiss franc, and gold, while U.S. Treasury bonds rallied, putting the dollar under broad pressure.
Despite Asian equities surging on hopes of eased trade tensions, Trump’s move to single out China with a staggering 125% tariff rate—up from 10%—sparked fresh market anxiety. The Chinese yuan briefly fell to its lowest level since 2007 before slightly recovering. Meanwhile, the Aussie and Kiwi dollars, initially hit due to close trade ties with China, regained momentum as the risk rally spread to Europe.
Analysts noted a growing crisis of confidence in U.S. trade leadership, citing the administration’s erratic policy shifts. ANZ analysts highlighted concerns over the long-term credibility of the U.S. dollar, while others warned of lasting economic damage.
With markets on edge, investors remain cautious, questioning whether temporary policy reversals can offset the uncertainty wrought by Trump’s aggressive trade manoeuvres.
The Trump administration is moving to revise AI chip export regulations, seeking to simplify trade rules and address feedback from global stakeholders and the technology sector.
European capitals are advising the European Commission to delay any major responses to U.S. trade tariffs until after the NATO summit in June, as leaders prioritize securing a consensus with Donald Trump on the future of Europe’s defense responsibilities.
U.S. President Donald Trump is expected to announce a major trade deal with the UK on Thursday, marking Britain’s second deal in a week and potentially lowering tariffs on steel and autos, according to sources cited by the New York Times.
U.S. President Donald Trump on Wednesday called for an immediate end to the escalating hostilities between India and Pakistan, saying he “hopes they can stop now” after a series of deadly cross‑border strikes.
The U.S. Federal Reserve kept its benchmark federal funds rate unchanged on Wednesday, maintaining the target range at 4.25% to 4.50%, in a widely expected move as the central bank navigates a complex economic environment marked by slowing inflation, global trade tensions, and political pressure.
Slovakia’s Prime Minister Robert Fico is the only EU leader attending Russia’s May 9 military parade, defying airspace bans and EU pressure to stay away.
On the 25th anniversary of the Gates Foundation, Bill Gates announced plans to donate nearly all of his personal wealth over the next two decades, aiming to provide $200 billion in support to the world’s poorest communities, especially as global aid budgets face significant reductions.
The United States and Britain are set to announce a trade agreement aimed at reducing tariffs on key goods, signaling progress in bilateral trade discussions.
In a move to strengthen its disaster preparedness, Morocco plans to invest 7 billion dirhams ($760 million) in emergency supplies and storage platforms across the country, following the devastating 2023 earthquake in the High Atlas Mountains.
Armenia has officially approved joining the Ashgabat Agreement, aiming to enhance its regional transit role and secure broader access to international markets through a key transport and transit corridor spanning Central and South Asia.
India has fired a series of missiles into Pakistani-controlled territory, in what it has described as “Operation Sindoor”
ChatGPT has rapidly emerged as one of the most influential artificial intelligence tools, transforming how we interact with technology through natural language.
Discover every major VE Day 80 event in Britain, 5‑8 May 2025—from London’s parade and fly‑past to street parties, concerts and museum exhibitions.
Chinese e-commerce platform Temu has announced it will no longer sell goods directly from China to U.S. customers, shifting instead to U.S.-based sellers amid the closure of a long-criticized customs loophole.
Cardinals from 70 nations have gathered in Vatican City to begin the historic conclave to elect the next pope, following the death of Pope Francis 17 days ago. This conclave is the most geographically diverse in Church history, showcasing Francis’ legacy of inclusivity.
Slovakia’s Prime Minister Robert Fico is the only EU leader attending Russia’s May 9 military parade, defying airspace bans and EU pressure to stay away.
On the 25th anniversary of the Gates Foundation, Bill Gates announced plans to donate nearly all of his personal wealth over the next two decades, aiming to provide $200 billion in support to the world’s poorest communities, especially as global aid budgets face significant reductions.
The United States and Britain are set to announce a trade agreement aimed at reducing tariffs on key goods, signaling progress in bilateral trade discussions.
In a move to strengthen its disaster preparedness, Morocco plans to invest 7 billion dirhams ($760 million) in emergency supplies and storage platforms across the country, following the devastating 2023 earthquake in the High Atlas Mountains.
Ukraine has accused Russia of breaching a 72-hour ceasefire ahead of Russia’s annual May 9 military parade, with both sides exchanging accusations of violations and continued clashes reported on the ground.
Slovakia’s Prime Minister Robert Fico is the only EU leader attending Russia’s May 9 military parade, defying airspace bans and EU pressure to stay away.
On the 25th anniversary of the Gates Foundation, Bill Gates announced plans to donate nearly all of his personal wealth over the next two decades, aiming to provide $200 billion in support to the world’s poorest communities, especially as global aid budgets face significant reductions.
The United States and Britain are set to announce a trade agreement aimed at reducing tariffs on key goods, signaling progress in bilateral trade discussions.
In a move to strengthen its disaster preparedness, Morocco plans to invest 7 billion dirhams ($760 million) in emergency supplies and storage platforms across the country, following the devastating 2023 earthquake in the High Atlas Mountains.
Armenia has officially approved joining the Ashgabat Agreement, aiming to enhance its regional transit role and secure broader access to international markets through a key transport and transit corridor spanning Central and South Asia.
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