US markets down amid concerns over America's budget position
CommSec's Tom Piotrowski claims concerns about the US budget position have been 'bubbling away' on the sidelines as markets sink.
'It's a situation where we've alluded to it earlier in the week – concerns about the US budget position have been bubbling away on the sidelines,' he told Sky News Australia.
'The fact that the Moody's credit rating agency downgraded US debt earlier in the week as well – these have been kernels of concern ... and as a result, we've seen the US equity market sell off by a decent clip.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
ABC News
an hour ago
- ABC News
Protests intensify in Los Angeles after Donald Trump deploys National Guard troops
Tensions in Los Angeles have escalated as thousands of protesters took to the streets in response to US President Donald Trump's deployment of the National Guard. Protesters blocked off a major freeway and set self-driving cars on fire as law enforcement used tear gas, rubber bullets and flash bangs to control the crowd. Many protesters dispersed as evening fell on Sunday local time, and police declared an unlawful assembly, a precursor to officers moving in and making arrests of people who don't leave. Some of those remaining threw objects at police from behind a makeshift barrier that spanned the width of a street and others hurled chunks of concrete, rocks, electric scooters and fireworks at California Highway Patrol officers and their vehicles parked on the closed southbound 101 Freeway. Sunday's protests in Los Angeles were centred in several blocks of downtown, much like Saturday's protests. It was the third and most intense day of demonstrations against Mr Trump's immigration crackdown in the region, as the arrival of around 300 National Guard troops spurred anger and fear among many residents. The National Guard was deployed specifically to protect federal buildings, including the downtown detention centre where protesters concentrated. Los Angeles Police Chief Jim McDonnell said officers were "overwhelmed" by the remaining protesters. He said they included regular agitators who show up at demonstrations to cause trouble. Starting in the morning, the troops stood shoulder to shoulder, carrying long guns and riot shields as protesters shouted "shame" and "go home". After some closely approached the National Guard members, another set of uniformed officers advanced on the group, shooting smoke-filled canisters into the street. Minutes later, the Los Angeles Police Department fired rounds of crowd-control munitions to disperse the protesters, who they said were assembled unlawfully. The US Correspondent for 9News Australia, Lauren Tomasi, was hit by a rubber bullet fired by an LAPD officer while reporting live from the scene in downtown LA. Mr Trump told reporters soon after that he was watching the protests "very closely" and warned protesters if "they spit, we hit". Much of the group then moved to block traffic on the 101 freeway until state patrol officers cleared them from the roadway by late afternoon. Nearby, at least four self-driving Waymo cars were set on fire, sending large plumes of black smoke into the sky and exploding intermittently as the electric vehicles burned. By evening, police had issued an unlawful assembly order shutting down several blocks of downtown Los Angeles. Flash bangs echoed out every few seconds into the evening. California's Democratic Governor Gavin Newsom requested Donald Trump remove National Guard members in a letter on Sunday afternoon. He called their deployment a "serious breach of state sovereignty" and added Mr Trump's acts were "of a dictator, not a president". Mr Newsom was in Los Angeles meeting with local law enforcement and officials. The deployment appeared to be the first time in decades that a state's national guard was activated without a request from its governor. Along with Los Angeles Mayor Karen Bass, Mr Newsom blamed the increasingly aggressive protests on Mr Trump's decision to deploy the additional forces. The pair called it a move designed to inflame tensions but urged protesters to remain peaceful. "What we're seeing in Los Angeles is chaos that is provoked by the administration," Ms Bass said in an afternoon press conference on Sunday local time. "This is about another agenda, this isn't about public safety." Mr Newsom, meanwhile, has repeatedly said that California authorities had the situation under control. He mocked Mr Trump for posting a congratulatory message to the National Guard on social media before troops had even arrived in Los Angeles, and said on MSNBC that the president never floated deploying the troops during a Friday phone call. He called Trump a "stone cold liar." The admonishments did not deter the administration, nor Mr Trump. "It's a bald-faced lie for Newsom to claim there was no problem in Los Angeles before President Trump got involved," White House spokesperson Abigail Jackson said in a statement. And the president said "we have an incompetent Governor (Newscum) and Mayor (Bass) who were, as usual, unable to to handle the task," Mr Trump posted on Truth Social. Jim McDonnell, the LAPD chief, said the protests were following a similar pattern for episodes of civil unrest, with things ramping up to another level now. He pushed back against claims by the Trump administration that the LAPD had failed to help federal authorities when protests broke out Friday after a series of immigration raids. His department responded as quickly as it could, and had not been notified in advance of the raids and therefore was not pre-positioned for protests, he said. In response, Mr Trump said that Mr McDonnell is a "highly respected LAPD Chief" but added he and the LAPD cant "let these thugs get away with this." The arrival of the National Guard followed two days of protests that began Friday in downtown Los Angeles before spreading on Saturday to Paramount, a heavily Latino city south of the city, and neighbouring Compton. The week-long tally of immigrant arrests in the LA area climbed above 100 on Sunday, federal authorities said. Asked if he planned to send US troops to Los Angeles, Mr Trump said: "We're going to have troops everywhere." "We're not going to let this happen to our country," he added without elaborating. About 500 marines stationed at Twentynine Palms, about 200 kilometres east of Los Angeles were in a "prepared to deploy status" on Sunday afternoon, according to the US Northern Command. Mr Trump said he had authorised the deployment of 2,000 members of the National Guard. AP/Reuters
News.com.au
an hour ago
- News.com.au
China exports slow as trade war takes toll
Chinese exports grew slower than expected in May, according to official data Monday, as shipments to the United States tumbled amid global trade turmoil triggered by Donald Trump's tariff blitz. The figures also showed imports suffered a forecast-beating drop, with weak domestic consumption in the world's number two economy highlighted by data earlier in the day revealing another month of falling prices. The 4.8 percent year-on-year drop in overseas shipments last month was an improvement on April but bigger than the 6.0 percent forecast in a survey of economists by Bloomberg. The reading included a 12.7 percent plunge in exports to the United States compared with April, when Trump unveiled his eye-watering tariffs on China. Imports from the US tanked 17.9 percent after Beijing imposed tit-for-tat measures. Exports tumbled by a third year-on-year in May. In contrast, the data showed shipments to Vietnam increased from the previous month. Those to other Southeast Asian countries including Malaysia, Thailand, Singapore and Indonesia all declined slightly after soaring in April, the figures indicated. "The trade war between China and the US led to sharply lower exports to the US, but the damage was offset by stronger exports to other countries," Zhiwei Zhang, resident and Chief Economist at Pinpoint Asset Management, said in a note. "The trade outlook remains highly uncertain at this stage," he added, pointing to the impact of "frontloading", when overseas buyers increase shipments ahead of potentially higher tariffs. Monday's readings added to concerns about the Chinese economy, with a report from the National Bureau of Statistics (NBS) showing the consumer price index -- a key measure of inflation -- dropped 0.1 percent year on year in May. The reading, which was slightly better than expected but marks the fourth straight month of falling prices, comes as Beijing struggles to boost the sluggish domestic consumption seen since the end of the pandemic. Leaders' failure to kickstart demand threatens their official growth targets and complicates their ability to shield its economy from Trump's tariff blitz. While deflation suggests the cost of goods is falling, it poses a threat to the broader economy as consumers tend to postpone purchases under such conditions, hoping for further reductions. A lack of demand can then force companies to cut production, freeze hiring or lay off workers, while potentially also having to discount existing stocks -- dampening profitability even as costs remain the same. Deepening a slump that has now lasted more than two years, factory gate prices also dropped in May, the NBS said Monday. The producer price index decline of 3.3 percent -- accelerating from a 2.7 percent drop in April -- was faster than the 3.2 percent estimated in the Bloomberg survey. Representatives from China and the United States are expected to meet on Monday in London for another round of high-stakes trade talks markets hope will ease tensions between the economic superpowers. A key issue in the negotiations will be Beijing's shipments of rare earths, crucial to a range of goods including electric vehicle batteries and which have been a bone of contention between the two for some time. Figures Monday showed Chinese exports of 17 minerals rose last month to 5,865 from 4,785 tons in April. The London talks will be the second set of formal negotiations between the two since Trump launched his global trade blitz on April 2. They were announced after a phone call last week between Trump and Chinese President Xi Jinping, which the US president described as "very good". The first round, held in mid-May in Geneva, saw the two pause sky-high tariffs but fail to reach a sweeping trade deal. pfc-oho/je/dan
News.com.au
an hour ago
- News.com.au
‘Must be called out': PM under pressure after 9News reporter Lauren Tomasi shot with rubber bullet during LA protests
The Greens have called on Prime Minister Anthony Albanese to seek 'urgent explanation' from Donald Trump after an Australian journalist was shot by police with a rubber bullet in Los Angeles. 9News reporter Lauren Tomasi was hit while covering street protests that have broken out in LA following the arrests of dozens of people for alleged immigration violations. The moment was captured on camera with Ms Tomasi directly hit in the leg. 'You just f***in' shot the reporter!' a protester yelled at the officer before asking whether she was OK. 'Yeah, I'm good,' she replied. In a statement, Greens Senator Sarah Hanson-Young called on Mr Albanese to hold the US President accountable. 'US authorities shooting an Australian journalist is simply shocking,' Ms Hanson-Young said in a statement. 'It is completely unacceptable and must be called out.' Ms Hanson-Young, who is also the Greens spokeswoman for media and communication, said the Prime Minister should seek 'an urgent explanation from the US administration'. 'As Albanese is preparing for his first meeting with President Trump, the first thing he must tell the President is to stop shooting at our journalists,' Ms Hanson-Young. 'Freedom of the press is a fundamental pillar of a strong, functioning democracy.' In a statement, Channel 9 said both Ms Tomasi and their camera operator were 'safe'. 'While reporting from protests in Los Angeles, 9News reporter Lauren Tomasi was struck by a rubber bullet. Lauren and her camera operator are safe and will continue their essential work covering these events,' the media company said. 'This incident serves as a stark reminder of the inherent dangers journalists can face while reporting from the frontlines of protests, underscoring the importance of their role in providing vital information.' On X, Ms Tomasi told a follower she was 'safe and okay'. The Prime Minister's office has yet to comment on the incident. Protesters ordered to disperse Before 10pm Sunday local time, the entirety of downtown Los Angeles was declared an 'unlawful assembly' zone, with members of the public instructed to disperse. 'Downtown Los Angeles has been declared as an UNLAWFUL ASSEMBLY. You are to leave the Downtown Area immediately,' the police department posted on social media. It comes after cars were burned and protesters clashed with police, resulting in the arrests of almost 40 people involved in the riots. Los Angeles Police Department Chief Jim McDonnell said enforcement was 'overwhelmed' by the number of people involved in the protests. 'As far as people worried about the violence that we're seeing. The violence that we've seen is disgusting. It's escalated now, since the beginning of this incident. What we saw the first night was bad. What we've seen subsequent to that is getting worse and more violent,' Mr McDonnell said. 'Tonight we had individuals out there shooting commercial-grade fireworks at our officers. That can kill you. We have adapted our tactics to be able to have a chance to take these people into custody and to hold them accountable.' On Sunday morning, the first members of the National Guard arrived in Los Angeles after Mr Trump ordered 2,000 troops in the city after two days of violence and protests. A new statement from US Northern Command has confirmed that 500 Marines are also prepared to deploy to Los Angeles, should they be ordered to do so. California Governor Gavin Newsom has since come out demanding that Donald Trump withdraw the National Guard, accusing the President of 'inciting' more violence. 'These are the acts of a dictator, not a president,' he said. Mr Trump posted to the social media platform, Truth Social, to hit back at Mr Newsom as well as Los Angeles Mayor Karen Bass. 'Governor Gavin Newscum (sic) and 'Mayor' Bass should apologise to the people of Los Angeles for the absolutely horrible job they have done, and this now includes the ongoing LA riots,' he said. 'These are not protesters, they are troublemakers and insurrections.'
