Latest news with #JochenStanzl
NZ Herald
6 days ago
- Business
- NZ Herald
European markets rally as Trump delays 50% EU tariffs
On Monday the Paris CAC 40 index closed 1.2% higher while the Frankfurt gained 1.7%. London and Wall Street were closed for holidays, but US futures were higher while Asia struggled. Analysts said the latest unexpected salvos from the White House highlighted the uncertain path investors are having to walk owing to the President's volatile policy pivots. 'The stock market seems to dance to Trump's tune: first a threat, then a pullback, quickly followed by a rebound as speculative investors anticipate a concession from the US President,' said Jochen Stanzl, chief market analyst at CMC Markets trading platform. 'This morning's confirmation of such expectations reinforces the so-called 'Trump Pattern', which is increasingly seen as a successful strategy for risk-tolerant investors.' The dollar remained under pressure after dropping on Friday. Oil prices fluctuated and ended flat, with producers' group Opec-plus expected this week to continue to raise production despite low prices, after pressure from Trump. Steel saga Investors have also fretted over Trump's economic policies, with US long-term government bond yields surging last week over concerns that his tax relief and spending cuts plan – which was approved by the House – will increase the US debt pile. Traders are also looking to Wednesday's release of minutes from the Fed's earlier May policy meeting, hoping for an idea about the central bank's views on the economy. That is followed by the Fed's preferred measure of inflation – US personal consumption expenditures – on Friday. In company news, shares in Seoul-listed Samsung rose almost 1% despite Trump's threat of tariffs on smartphone makers. In Tokyo, Nippon Steel rallied as much as 7.4% after Trump threw his support behind a new 'partnership' between the Japanese firm and US Steel. It ended up 2.1%. US Steel soared 21% in New York on Friday. In Europe, shares in steel giant ThyssenKrupp surged 8.7% after the firm said it planned a major overhaul that will split the vast conglomerate into several standalone businesses. Swedish carmaker Volvo rose more than 2% after it announced it would cut 3000 jobs as part of a $1.9 billion cost-cutting plan. Key figures Paris – CAC 40: UP 1.2% at 7828.13 points Frankfurt – DAX: UP 1.7% at 24,027.65 Tokyo – Nikkei 225: UP 1.0% at 37,531.53 (close) Hong Kong – Hang Seng Index: DOWN 1.4% at 23,282.33 (close) Advertisement Advertise with NZME. Shanghai – Composite: DOWN 0.1% at 3,346.84 (close) Euro/dollar: UP at $1.1382 from $1.1369 on Friday Pound/dollar: UP at $1.3563 from $1.3535 Dollar/yen: UP at 142.81 yen from 142.57 yen Euro/pound: DOWN at 83.91 pence from 83.96 pence West Texas Intermediate: UP 0.1% at US$61.62 per barrel Brent North Sea Crude: UP 0.1% at US$64.88 per barrel New York – Dow: Closed for a holiday London – FTSE 100: Closed for a holiday -Agence France-Presse
Time of India
13-05-2025
- Business
- Time of India
U.S. stock futures today fall ahead of April inflation report as tariff rally fades and Fed rate cut hopes waver, with Dow, S&P 500, and Nasdaq futures down
U.S. Stock Futures Decline as Investors Await Key Inflation Data Amid Tariff Truce Uncertainty- U.S. stock futures dipped on Tuesday, signaling a cautious start to the trading day as investors shifted focus from the recent U.S.-China tariff truce to the upcoming Consumer Price Index (CPI) report. The April CPI data, set for release at 8:30 a.m. ET, is anticipated to show a 0.3% monthly increase and an annual rate holding steady at 2.4%, according to economists polled by Reuters. Jochen Stanzl, chief market analyst at CMC Markets, noted, "Today's inflation data is highly anticipated, as higher figures could further diminish the outlook for additional rate cuts — potentially leading to no cuts at all by 2025." Traders are currently pricing in at least two 25-basis-point rate cuts by the end of the year, with the first expected in September, based on data compiled by LSEG. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like "2 Most Profitable Trading Strategy in 2025" by Hiral TradeWise Learn More Undo U.S. Stock Futures Performance As of early Tuesday morning: Dow Jones Industrial Average (DJIA) futures were down 97 points, or 0.23%. S&P 500 futures declined by 26.25 points, or 0.45%. Nasdaq 100 futures fell 113.75 points, or 0.54%. This pullback follows a significant rally on Monday, where the S&P 500 surged nearly 3.3%, reaching its highest closing level since March 5, 2025, driven by optimism over the U.S.-China tariff reductions. Live Events April CPI Report Expectations The April CPI data, scheduled for release at 8:30 a.m. ET, is expected to show: A 0.3% monthly increase in consumer prices. An annual inflation rate holding steady at 2.4% . Analysts caution that higher-than-expected inflation figures could dampen hopes for Federal Reserve rate cuts in 2025. Currently, traders anticipate two 25-basis-point rate reductions by year-end, with the first likely in September. Federal Reserve Outlook Several Federal Reserve officials, including Chair Jerome Powell, are slated to speak this week, which could provide further insights into the central bank's policy direction. Market Movers Tesla (TSLA) and Nvidia (NVDA) shares were down approximately 1% each in premarket trading. Coinbase Global (COIN) surged 9.3% after being slated to join the S&P 500 on May 19. Global Market Context Despite the recent tariff reductions—U.S. tariffs on Chinese imports were cut to 30% from 145%, and China lowered tariffs on U.S. goods to 10% from 125%—the overall tariff levels remain historically high. This has led to tempered enthusiasm in global markets, with European stocks inching up 0.2% and the U.S. dollar retreating from Monday's surge. How Did the Market React to the U.S.-China Tariff Truce? On Monday, Wall Street experienced a significant rally following the announcement of a temporary easing of tariffs between the U.S. and China. The S&P 500 surged 3.26% to 5,844.19, marking its highest close since early March. The Dow Jones Industrial Average climbed 2.81% to 42,410.10, and the Nasdaq Composite advanced 4.35% to 18,708.34. The agreement entails the U.S. reducing tariffs on Chinese imports from 145% to 30% for three months, while China will lower its duties on U.S. goods from 125% to 10% over the same period. What Are the Implications of the Upcoming CPI Report? The forthcoming CPI report is expected to provide insights into how recent tariff adjustments may be influencing inflation. A higher-than-expected inflation reading could prompt the Federal Reserve to reconsider the timing and extent of potential interest rate cuts. Investors are closely monitoring this data to gauge the central bank's next moves. Which Stocks Are Making Notable Moves? In premarket trading, UnitedHealth shares fell 5.5% after the company suspended its annual forecast and announced the immediate resignation of its CEO. Tesla shares declined by about 1%, while Nvidia remained flat. Conversely, Coinbase Global saw a significant uptick, jumping 9.6% following news that it will join the S&P 500 on May 19. What Other Economic Indicators Are Investors Watching? Beyond the CPI report, investors are awaiting earnings results from retail giant Walmart, expected later this week. Additionally, President Trump's ongoing visit to Saudi Arabia is being closely watched for potential developments in trade relations. FAQs: Q1: Why are U.S. stock futures falling today? U.S. stock futures are falling as traders await the April CPI report that could impact Fed rate cuts. Q2: What is the impact of the U.S.-China tariff truce on markets? The U.S.-China tariff truce sparked a brief rally but inflation fears are now pulling stocks lower.
Yahoo
13-05-2025
- Business
- Yahoo
US stock futures down as trade truce rally fades, inflation data in focus
(Reuters) -U.S. stock index futures were down on Tuesday, pulling back after a sharp rally fueled by a U.S.-China trade truce, as investors turned their focus to a key U.S. inflation reading that could shape the outlook for monetary policy. April consumer price inflation (CPI) is due at 8:30 a.m. ET, with economists polled by Reuters expecting a 0.3% monthly rise and an annual rate holding steady at 2.4%. "Today's inflation data is highly anticipated, as higher figures could further diminish the outlook for additional rate cuts — potentially leading to no cuts at all by 2025," said Jochen Stanzl, chief market analyst at CMC Markets. Traders currently see at least two 25-basis-point rate reduction by the year-end, with the first cut expected in September, according to data compiled by LSEG. A number of Federal Reserve officials are slated to speak this week, including Chair Jerome Powell on Thursday. All three main U.S. indexes closed sharply higher on Monday, with the S&P 500 notching its highest closing level since March 5, as a relief rally ensued after the U.S. and China agreed to temporarily slash harsh reciprocal tariffs and cooperate to avoid rupturing the global economy. The U.S. will cut extra tariffs it imposed on Chinese imports to 30% from 145% for the next three months, while Chinese duties on U.S. imports will fall to 10% from 125%. A White House executive order said that the U.S. will cut the low value "de minimis" tariff on China shipments. Following the tariff truce, Goldman Sachs became the first major brokerage to lower its probability of a U.S. recession. All three major indexes have recouped their losses since April 2 - dubbed "Liberation Day" - when U.S. President Donald Trump announced reciprocal tariffs on almost all trading partners. A 90-day pause announced on April 9 for countries other than China, along with solid earnings reports and a limited U.S.-UK trade agreement last week, have helped the S&P 500 and tech-heavy Nasdaq regain lost ground. Still, the S&P 500 remains nearly 5% below its February record high. At 05:02 a.m. ET, Dow E-minis were down 97 points, or 0.23%, S&P 500 E-minis were down 26.25 points, or 0.45%, and Nasdaq 100 E-minis were down 113.75 points, or 0.54%. Most megacap and growth stocks inched lower after rallying in the previous session, with Tesla and Nvidia down about 1% each in premarket trading. Among the early movers were crypto exchange operator Coinbase Global, which jumped 9.3% after being slated to join the S&P 500 on May 19. The earnings season is winding down, and more than 90% of S&P 500 companies have reported, while results from retail giant Walmart are due later this week. Investors now await cues of a potential trade deal from Trump's four-day visit to the Gulf region, with the president arriving in Saudi Arabia on Tuesday.
Yahoo
13-05-2025
- Business
- Yahoo
US stock futures down as trade truce rally fades, inflation data in focus
(Reuters) -U.S. stock index futures were down on Tuesday, pulling back after a sharp rally fueled by a U.S.-China trade truce, as investors turned their focus to a key U.S. inflation reading that could shape the outlook for monetary policy. April consumer price inflation (CPI) is due at 8:30 a.m. ET, with economists polled by Reuters expecting a 0.3% monthly rise and an annual rate holding steady at 2.4%. "Today's inflation data is highly anticipated, as higher figures could further diminish the outlook for additional rate cuts — potentially leading to no cuts at all by 2025," said Jochen Stanzl, chief market analyst at CMC Markets. Traders currently see at least two 25-basis-point rate reduction by the year-end, with the first cut expected in September, according to data compiled by LSEG. A number of Federal Reserve officials are slated to speak this week, including Chair Jerome Powell on Thursday. All three main U.S. indexes closed sharply higher on Monday, with the S&P 500 notching its highest closing level since March 5, as a relief rally ensued after the U.S. and China agreed to temporarily slash harsh reciprocal tariffs and cooperate to avoid rupturing the global economy. The U.S. will cut extra tariffs it imposed on Chinese imports to 30% from 145% for the next three months, while Chinese duties on U.S. imports will fall to 10% from 125%. A White House executive order said that the U.S. will cut the low value "de minimis" tariff on China shipments. Following the tariff truce, Goldman Sachs became the first major brokerage to lower its probability of a U.S. recession. All three major indexes have recouped their losses since April 2 - dubbed "Liberation Day" - when U.S. President Donald Trump announced reciprocal tariffs on almost all trading partners. A 90-day pause announced on April 9 for countries other than China, along with solid earnings reports and a limited U.S.-UK trade agreement last week, have helped the S&P 500 and tech-heavy Nasdaq regain lost ground. Still, the S&P 500 remains nearly 5% below its February record high. At 05:02 a.m. ET, Dow E-minis were down 97 points, or 0.23%, S&P 500 E-minis were down 26.25 points, or 0.45%, and Nasdaq 100 E-minis were down 113.75 points, or 0.54%. Most megacap and growth stocks inched lower after rallying in the previous session, with Tesla and Nvidia down about 1% each in premarket trading. Among the early movers were crypto exchange operator Coinbase Global, which jumped 9.3% after being slated to join the S&P 500 on May 19. The earnings season is winding down, and more than 90% of S&P 500 companies have reported, while results from retail giant Walmart are due later this week. Investors now await cues of a potential trade deal from Trump's four-day visit to the Gulf region, with the president arriving in Saudi Arabia on Tuesday.
Yahoo
27-03-2025
- Automotive
- Yahoo
Auto Stocks Fall After Trump Pledge to Impose 25% Tariffs on Imported Vehicles
Shares of major carmakers and auto-parts manufacturers fell after President Trump said he would impose 25% tariffs on global automotive imports to the U.S., rekindling concerns about trade frictions between the U.S. and its trading partners. The tariffs–set to cover finished automobiles and automotive parts–will be levied on top of existing duties, including a 2.5% tariff imposed by the U.S., as well as 25% tariffs on light trucks. Trump said the U.S. would start collecting the auto tariffs on April 3. Corporate America's Euphoria Over Trump's 'Golden Age' Is Giving Way to Distress I Quit Google Search for AI—and I'm Not Going Back New 'Yellowstone' Spinoffs Stoke Feud Between Paramount and NBCUniversal Tax Day Is Almost Here. Millions of Americans Haven't Filed Yet. Wall Street Bonuses Powered New York's Economy in 2024. Some Worry They Peaked. The president has been turning to tariffs to address what he sees as unfair trade imbalances between the U.S. and other world economies. Trump ordered federal agencies to explore how to adjust U.S. tariffs to match those of other countries. The latest announcement weighed on Asian European automotive stocks Thursday. In Japan, Toyota Motor shares closed 2% lower, Nissan Motor closed down 1.7% and Honda Motor was down 2.5%. In South Korea, Hyundai Motor shares fell 4.3% and Kia was down 3.5%. In Europe, Mercedes-Benz Group shares slumped more than 3%, while BMW and Volkswagen lost more than 2%. Shares of premium carmaker Porsche AG were down more than 4%. German automotive supplier Continental lost 3%. Stellantis, the owner of the Jeep and Dodge brands, shed more than 4% in Milan. Ferrari shares lost 2%, while tiremaker Pirelli was down 1.2%. Meanwhile, Volvo Car shares were down nearly 8%, while Aston Martin in the U.K. was down 5%. Trump's latest move underscores his willingness to make good on pledges to penalize foreign carmakers even at the cost of ratting relations with U.S. trading partners. In a post on Truth Social early Thursday, the president threatened to impose 'large-scale tariffs, far larger than currently planned' on Canada and the European Union if they worked together to 'do economic harm' to the U.S. The auto tariffs in their current form 'would be a hurricane-like headwind to foreign and many U.S. automakers,' ultimately pushing up the average price of a car by as much as $10,000, Wedbush Securities analysts wrote in a note to clients. General Motors and Ford Motor stock fell 6.3% and 1.2% premarket, respectively. Nearly half of new passenger vehicles sold in the U.S. in 2024 were assembled outside the country, according to data from S&P Global Mobility. Mexico is the biggest auto exporter to the U.S. The tariffs will weigh significantly on German car manufacturers, CMC Markets' chief market analyst Jochen Stanzl wrote in a research note, pointing out that the U.S. is a crucial trading partner. 'One can only hope that Trump will use these tariffs as leverage to negotiate a better deal,' Stanzl said. Tariffs are unlikely to have a major impact on the Chinese auto industry, said BOCOM International analyst Angus Chan. 'U.S. tariffs have been existing for many years so many Chinese automakers, auto parts companies and battery makers wouldn't touch the U.S. market.' However, the measures could hurt sales of Japanese and South Korean cars or their profitability in the U.S. market. Toyota, for instance, sold 2.3 million cars in the U.S. last year. Of that, about 23% were exported from Japan. Given the interconnectedness of the automotive supply chain, the proposed tariffs could harm economic growth in Asia, with South Korea and Japan particularly exposed. Citigroup analysts estimate the tariffs will weigh on South Korea's gross domestic product. 'The new 25% levy from Washington will undermine confidence, hit production, and reduce orders,' said Stefan Angrick and Dave Chia at Moody's Analytics. They expect the 'impact will ripple through the region, causing noticeable damage.' A key question for investors will be whether any company or country will get a reprieve from the tariffs. Moody's Analytics economists expect carmakers to step up investment in the U.S. as they seek to negotiate exemptions or reduced tariffs. Hyundai Motor announced at the White House on Monday that it would invest an additional $21 billion in U.S.-based car manufacturing and supply chains for critical materials, including a $5.8 billion steel mill to be built in Louisiana. President Trump credited the South Korean company's investment to his aggressive use of tariffs to discourage companies from relying on imports to supply operations in the U.S. Write to Kosaku Narioka at and Mauro Orru at Dollar Tree to Sell Family Dollar Business for $1 Billion Delaware Punches Back at Texas Efforts to Lure Away Companies 23andMe Went From a $6 Billion Giant to Bankruptcy. Its Former CEO Won't Walk Away. Millions of Student Borrowers Are at Risk of Credit-Score Falls CoreWeave IPO Is a Huge Bet That AI Demand Sticks Sign in to access your portfolio
