- Daiwa cuts Tesla price target to $300, citing margin pressure and demand concerns
- Japan warns of “significant impact” from new U.S. tariffs
- European Central Bank’s Buch, de Guindos, Escrivsa, Schnabel all speak on Thursday
- China to extend stamp duty relief for offshore trading through end-2027
- Bank of England Monetary Policy Committee member Dhingra speaks on Thursday
- The USD has reversed its earlier Trump auto tariff gains, EUR/USD back above 1.0760
- Morgan Stanley revised its USD/yuan projection to 7.35 by mid-2025 (prior 7.5)
- China data: January – February Industrial profits -0.3% y/y (prior -3.3%)
- Goldman Sachs sees further upside for China stocks, but warns of near-term headwinds
- PBOC sets USD/ CNY reference rate for today at 7.1763 (vs. estimate at 7.2728)
- China’s major banks are speeding up (bad) property loan write-offs
- ICYMI – China’s life insurers could unleash powerful new gold demand
- Tokyo Exchange transport index stocks slammed lower after Trump’s new added 25% tariff
- ICYMI – Dallas Fed Energy Survey uncertainty index highest in five years
- Trump said he may reduce tariffs on China to help facilitate TikTok US operations sale
- UBS outlined three reasons to favor U.S. artificial intelligence firms over those of China
- Nomura: Retains Long JPY Bias – tariffs, BOJ, inflation
- Trump has allowed a one-month tariff exemption for auto parts imports
- Westpac sees April RBA meeting as ‘dead rubber’, still eyes May rate cut
- Recap of Trump’s 25% auto tariff on foreign-made cars starting April 2nd
- Goldman Sachs lifts gold forecast. Could get above US$4200 by end 2025 in extreme case
- The USD has risen after Trump’s announcement of 25% tariff on all autos not made in USA
- Trump slaps a 25% tariff on all cars not made in the USA
- ICYMI – Barclays slashed thier S&P 500 forecast
- ICYMI – The EU has asked for households to stockpile 72 hours of food amid war risks
- Forexlive Americas FX news wrap 26 Mar: Tariffs, inflation concerns rattle markets.USD up.
- Gamestop says it’ll raise USD1.3bn, a portion will be to buy Bitcoin
- US equity close: Sell now, wait for the news on auto tariffs later
- Trade ideas thread – Thursday, 27 March, insightful charts, technical analysis, ideas
A
summary of the measures announced by Trump:
-
a new 25% tariff on all cars and light trucks not manufactured in the United States
-
will be on top of any existing tariffs
-
the tariffs will remain in place throughout his 4-year term
-
auto tariffs are set to take effect on April 2nd
-
tariff collections begin April 3rd
-
the administration is seeking approval for a tax deduction on interest payments for car loans—if the vehicle is made in America
-
parts made in America but assembled into foreign-made cars will not be subject to tariffs
There
are more fine details, but those above cover the main points.
The
market response was to send the US dollar a little higher after the
news hit. Soon after Globex reopened for trade and US equity index
futures traded a little lower.
Japanese
auto exporters are, of course, going to be hit hard by the new
tariffs. Auto firms on the Tokyo exchange fell heavily.
EUR/USD
traded to lows around 1.0734 but soon recovered strongly. As I post
we’ve bounced to circa 1.0780. Yen recovered also, USD/JPY hitting
highs around 150.60 before dropping back to lows arpound 150.10 and
its not too far above there as I update.
GBP,
CAD, AUD and NZD have all risen smartly against the USD too.
Gold
have been a performer too, its back above US$3030 as I post.
Apart
from the tariff announcement news and data flow have been light.
This article was written by Eamonn Sheridan at www.forexlive.com.