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Yahoo
a day ago
- Business
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Trump says China violated agreement with U.S.
-- U.S. President Donald Trump on Friday accused China of breaking a recent trade agreement, only a few weeks after the two nations announced a temporary truce aimed at de-escalating tensions. In a post on Truth Social, Trump wrote: 'China, perhaps not surprisingly to some, HAS TOTALLY VIOLATED ITS AGREEMENT WITH US.' He added: 'So much for being Mr. NICE GUY!' Trump said the deal had been struck to prevent further economic deterioration in China after his administration's tariffs took effect. 'We went, in effect, COLD TURKEY with China, and it was devastating for them,' he said in the post. 'I made a FAST DEAL with China in order to save them from what I thought was going to be a very bad situation, and I didn't want to see that happen.' 'Everything quickly stabilized and China got back to business as usual.' However, he claims China has now violated the agreement. Earlier this month, the U.S. and China agreed to reduce or suspend several tariffs, with the U.S. lowering duties on Chinese imports from 145% to 30% and China cutting its retaliatory tariffs from 125% to 10%. The agreement also included a 90-day suspension of additional tariffs through May 14. However, U.S. Treasury Secretary Scott Bessent told Fox News on Thursday that trade talks had become 'a bit stalled' and may require further involvement from national leaders. He added that he expects more talks in the coming weeks and did not rule out a call between Trump and Chinese President Xi Jinping. Related articles Trump says China violated agreement with U.S. Canada March GDP rises 0.1%; Q1 growth steady at 0.5% China to allocate $70 billion in capital for new infrastructure projects
Yahoo
a day ago
- Business
- Yahoo
Gold prices fall as dollar resilience offsets Trump tariff uncertainty
Gold prices fell in Asian trade on Friday, pressured by a resilient dollar amid some signs of strength in the U.S. economy, even as legal sparring over President Donald Trump's trade tariffs rattled risk appetite. The yellow metal was headed for a weekly decline, having taken only limited support from heightened uncertainty over Trump's trade tariffs. Bullion prices did gain some ground on Thursday after an appeals court ruled to temporarily reinstate Trump's tariff agenda, but this was insufficient in offsetting losses clocked earlier this week. Strength in the dollar, following some upbeat U.S. economic data, was a major point of pressure on gold and broader metal prices, while markets were also bracing for a potentially strong PCE price index inflation reading later on Friday. Spot gold fell 0.7% to $3,293.44 an ounce, while gold futures for August fell 0.8% to $3,316.67 an ounce by 00:44 ET (04:44 GMT). Gold was trading down over 1% this week, as losses earlier this week largely offset some gains made on Trump's tariff whipsaws. Gold was pressured by a mix of dollar strength and sustained profit-taking, especially after spot prices raced to a record high earlier in May. Gold had lost ground earlier this week after Trump announced a delay in his plans to impose steep trade tariffs on the European Union. It had fallen further after a trade court on Wednesday ruled to block Trump's tariffs, although they were shortly after reinstated by an appeals court. Trump lashed out against the judges who ruled against his tariffs, and expressed hope that the Supreme Court will back his plans. Gold saw limited gains on the tariff reinstatement, with the continued tariff swings also sparking some bets that Trump will not make good on his tariff threats. A term mocking Trump's tariff indecision was seen gaining traction on social media. TACO- an acronym for 'Trump Always Chickens Out'-- was widely circulated on social media, amid growing views that despite his harsh rhetoric, Trump will always back down from his more extreme tariff measures. While the dollar did fall after Trump's latest tariff turnaround, it was headed for mild weekly gains amid signs of stability in the Treasury market, while some upbeat U.S. economic data also helped. Gross domestic product data showed the U.S. economy shrank slightly less than initially estimated in the first quarter. Comments from the Federal Reserve- than interest rates were unlikely to fall in the near-term, also aided the dollar. Resilience in the dollar pressured broader metal prices. Platinum futures fell 0.6% to $1,074.85/oz, while silver futures fell 1% to $33.075/oz. Among industrial metals, benchmark copper futures on the London Metal Exchange fell 0.1% to $9,564.40 a ton, while U.S. copper futures fell 0.4% to $4.6535 a pound. Focus was now on PCE price index data- the Fed's preferred inflation gauge- for more cues on the U.S. economy. The data is expected to show inflation remained sticky in April, while core PCE remained above the Fed's 2% annual target– a trend that gives the central bank less impetus to cut rates. Related articles Gold prices fall as dollar resilience offsets Trump tariff uncertainty Oil prices slip on Trump tariff uncertainty, OPEC+ decision in focus US oil futures up slightly after API reports surprise slump in crude stocks Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Canadian payrolls dip again in March, job vacancies hold steady
-- Canadian employers cut payroll positions for a second consecutive month in March, underscoring a cautious hiring environment amid uncertain economic conditions. Statistics Canada reported a loss of 54,100 payroll jobs, or 0.3%, building on February's decline of 40,200 positions. The contraction in payroll employment spread across half of the monitored sectors, with educational services, health and social assistance, accommodation and food services, and retail trade leading declines. Educational services shed 10,400 jobs, while health care lost 9,500—its first drop since June 2024. Accommodation and food services posted its third straight monthly payroll contraction, bringing total losses since January to 22,100 positions—or a 1.7% reduction. Retail trade, meanwhile, extended a long-running downswing that began in early 2023, shedding another 8,400 positions in March. Wholesale trade and construction also posted declines in March, with cumulative losses in those sectors since December and January respectively standing at 7,300 and 17,800 payroll jobs. Still, some gains were recorded in resource-heavy sectors, including mining, quarrying, and oil and gas, which added 2,500 jobs (+1.1%). Job vacancies in March held steady at 529,700, marking the seventh straight month of little change, although the total stood 12.1% below year-ago levels. The job vacancy rate ticked up slightly to 3.0% from 2.9% in February, but remained below the 3.4% seen in March 2024. Retail trade saw the sharpest decline in monthly job vacancies, falling 8.4% to 48,200 available roles, with broader year-over-year reductions of 19.3%. However, transportation and warehousing, utilities, and management sectors all recorded vacancy gains in March. Health care and social assistance continued to post elevated vacancy numbers despite a year-over-year decline of 14.4%, with openings still significantly above pre-pandemic levels. Average weekly earnings rose 4.3% year-on-year in March to $1,291, though earnings were little changed from February. Related articles Canadian payrolls dip again in March, job vacancies hold steady Fed Governor Kugler monitoring markets amid trade shifts, dollar concerns Capital Economics still sees global growth below 3% this year Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
3 days ago
- Business
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Trump's ‘liberation day' tariffs blocked by US trade court
President Donald Trump's proposed reciprocal trade tariffs on major U.S. trading partners were blocked by a federal court on Wednesday, on the grounds that the president overstepped his authority. The Court of International Trade ruled on Wednesday that Congress held exclusive authority to regulate commerce with other countries, and that Trump's emergency powers did not supersede this authority. Wednesday's ruling was on a lawsuit filed by the Liberty Justice Center on the behalf of five small U.S. businesses that import goods from the countries targeted by Trump's tariffs. The trade court ruled that the International Emergency Economic Powers Act (IEEPA), which was invoked by Trump to carry out his tariff agenda, did not grant the president sufficient authority to impose 'unlimited tariffs on goods from nearly every country in the world.' 'The court does not read IEEPA to confer such unbounded authority and sets aside the challenged tariffs imposed thereunder,' the court said in its ruling. Wednesday's ruling poses a fresh challenge for Trump's agenda to impose steep trade tariffs on countries with large trade surpluses with the United States. But the White House can appeal against the ruling. Trump had initially unveiled his planned tariffs in early April– what the president dubbed as 'liberation day.' Trump announced double-digit levies on several major U.S. trading partners, and also targeted countries he alleged were trade proxies for China. But he had shortly after announced a 90-day extension in the planned tariffs, except for China. Trump's tariffs on China rose as high as 245% in April, before Washington and Beijing agreed to deescalate earlier in May. Related articles Trump's 'liberation day' tariffs blocked by US trade court Tesla stock rises on robotaxi service launch plans Musk opposed Abu Dhabi AI data center deal that he thought favors Altman, says WSJ
Yahoo
3 days ago
- Business
- Yahoo
Nvidia's hit from being caught in the US-China tech war isn't as bad as expected
Nvidia missed out on $2.5 billion in additional revenue during the first quarter of this year because it had to stop shipping its H20 artificial intelligence chips to China after the Trump administration instituted fresh export restrictions last month. Despite those unearned sales — revealed in the company's earnings report Wednesday — Nvidia took a smaller blow from the new H20 restrictions during the quarter than expected. It took a $4.5 billion charge in the quarter associated with excess H20 inventory and purchase obligations it couldn't fill because of the export controls, although it had warned investors last month the hit might be as high as $5.5 billion. Investors had been watching the impact of the H20 export controls because they underscore Nvidia's increasingly tenuous position at the center of an increasing US-China trade and tech war. The smaller than expected charge is likely to be viewed as a positive sign, although the company added it expects to lose out on another $8 billion in revenue during the second quarter because of the H20 controls. Nvidia's shares rose 3.5% in after-hours trading following the report. Nvidia last year released the H20 chip to accommodate stringent US export controls to China while maintaining access to the market, which accounted for around 13% of its sales last year. But in April, the White House told the company it would need a special license to export the H20 — which is widely believed to have contributed to the powerful Chinese AI model DeepSeek — to China. Nvidia CEO Jensen Huang has called US chip export controls a 'failure.' Huang told analysts on a call Wednesday evening that Nvidia is exploring how else it can compete in China, but reiterated his opposition to the export controls. 'China's AI moves on with or without us,' he said. 'The question is not whether China will have AI — it already does — the question is whether one of the world's largest AI markets will run on American platforms.' He added that shielding Chinese tech companies from American technology 'only strengthens' foreign rivals and 'weakens America's position.' But despite the uncertainty caused by the White House's trade policy, Nvidia's overall business continues to grow at a striking clip. The chipmaker exceeded Wall Street analysts' expectations for both revenue and profits during the first quarter. It earned $44.1 billion in revenue, up 69% from the same period in the prior year. And its net income grew 26% year-over-year to $18.8 billion. 'Even during a period of industry consolidation — with growing competition and geopolitical tensions creating a more challenging macro environment — the company demonstrated its ability to focus on the right operational areas,' Thomas Monteiro, senior analyst at said in emailed commentary. He added that the smaller than expected impact from the H20 controls 'highlighted Nvidia's adaptability to changing market conditions.' Given its central role building many of the chips that power AI systems, Nvidia's earnings are viewed as a barometer for the larger tech sector. Uncertainty around tariffs and trade policy, as well as tough questions from investors about returns on AI spending, have loomed over the industry. Huang said in a statement Wednesday that demand for the company's AI technology remains 'incredibly strong.' The company is benefitting from a growing use of major AI services — such as those offered by OpenAI, Google and Microsoft — generating demand for AI infrastructure and chips, executives said on Wednesday's call. Investments by governments in so-called sovereign AI projects are also contributing to higher demand for Nvidia's chips. The United States and United Arab Emirates announced earlier this month a partnership to build a massive data center complex in Abu Dhabi to advance AI capabilities with 5-gigawatts of capacity. The project, which will mark the largest data center system outside the United States, was announced during US President Donald Trump's visit to the UAE. Huang was also present during the visit. Huang also touched on Trump's effort to convince tech companies to move more of their manufacturing — especially semiconductor production — to the United States, with the chief executive saying he shares the president's vision. Last month, the company announced plans to partner with manufacturing companies to build factories in Texas to produce AI chips and supercomputers. –This story has been updated with additional context and details. Sign in to access your portfolio
