Latest news with #Liberationday
Business Insider
22-07-2025
- Business
- Business Insider
Bullish retail traders are the biggest force behind the stock market's latest rally to all-time highs
You can thank the little guys for pushing the stock market to its latest all-time high. Retail traders have been on a dip-buying frenzy since President Donald Trump announced his tariffs in April. Analysts at Barclays estimated that retail traders ploughed around $50 billion into global stocks in the last month. Stock-buying among institutional investors has paled by comparison, with hedge fund re-risking remaining "modest" and their long positions in US stocks remaining below the long-term median, the bank said on Tuesday. The data suggests retail investors are largely driving the red-hot rally to record highs. The S&P 500, which weathered a historic sell-off in early April, is now up 26% from its low on April 8. "In retrospect, 'Liberation day' ushered in historic retail-driven ' buy-the-dip,'" analysts wrote. Wall Street has been keeping a close eye on the swelling appetite for US stocks among retail traders. In a note to clients this month, JPMorgan estimated that retail investors purchased a net $270 billion worth of stocks over the first half of the year. The bank added that it sees retail traders buying another $360 billion worth of stocks through the end of 2025, which could push the S&P 500 higher by 5%-10%. A separate analysis from Vanda Research estimated that cumulative retail net purchases of stocks and exchange-traded funds hit $155.3 billion in the first six months. That's the largest inflow over the first half of the year in at least the last 10 years, the firm said in a note. "Portfolio health is likely a strong factor behind elevated retail participation so far in Q2," Vanda Research's Ianchini wrote in a separate note last week. "That, plus a successful dip-buying effort in April, and a still-OK labor market may help explain why mom-and-pop traders remain a resilient source of demand for equities in 2025." According to an eToro survey conducted in May, 61% of retail investors say they're dip-buyers, with the majority buying into the market once it drops 18% or more. In particular, younger traders said they were most likely to change their investing strategy when the market was turbulent, with 91% of Gen Z investors and 87% of millennials saying that they react when volatility increases.
Eyewitness News
09-07-2025
- Business
- Eyewitness News
Lesotho invokes state of disaster to tackle unemployment
MASERU, LESOTHO - The southern African mountain kingdom of Lesotho has declared a national "state of disaster" over soaring unemployment and mass job losses as it reels from the economic fallout of US tariffs and aid cuts. The textile-dependent economy was already grappling with sky-high unemployment, especially among the youth, before President Donald Trump slashed aid and raised trade barriers. The law - which gives the government additional powers including bypassing standard procedures - will be in force for two years, according to an official government notice dated 7 July. Ministries had already been ordered to allocate two percent of their budgets to job creation efforts. "High youth unemployment has been worsened by changing global trade dynamics, US foreign aid cuts, and the imposition of reciprocal tariffs. Young people need help," Prime Minister Sam Matekane said last month. Lesotho's finance minister revealed in February that 38 percent of the country's youth were unemployed. The crisis became a flashpoint last month after an activist was arrested and charged with sedition for posting a video criticising the government's inaction. The case drew international attention and sparked outrage among rights groups. The landlocked nation, with a gross domestic product of just over $2 billion, relies heavily on textile exports, most of which is bound for the United States and benefitted heavily from duty-free access to US markets under the African Growth and Opportunity Act (AGOA). But the country was hard-hit by Trump's "Liberation day" tariffs, which singled out Lesotho with the highest rate of any single nation - 50 percent - before the order was paused. The government has warned it could lose up to 40,000 jobs if AGOA is not renewed at the end of September.
Irish Examiner
07-07-2025
- Business
- Irish Examiner
Trump tariffs: 'No sign of shock to Irish property market'
A much-feared economic shock to Ireland's property market by Donald Trump's tariff policies has failed to materialise. Earlier this year, MyHome had warned the speed at which house prices are increasing could be slowed by the prospect of a tariff war between the US and the EU. MyHome warned the economic fallout from such a 'war' could seriously dampen house sales because Ireland's housing market has become too heavily dependent on 'high-income earners working in multinational sectors'. However, MyHome's latest e report states there is 'no sign of any Donald Trump hangover in Ireland's housing market'. 'Clearly uncertainty following [US] president Trump's 'Liberation day' tariffs hasn't been sufficient to dent Ireland's housing market. There is little sign of uncertainty relating to president Donald Trump's tariff policies holding back demand from prospective homebuyers. It instead points out that vendors felt sufficiently confident in April, May, and June to raise their prices regardless of the expected tariff war by a further 4%, or by €20,000 on the quarter. It said typical transactions are being settled 7.5% above the asking price. One in six properties are being sold by 20% or more over. 'Competition for homes remains fierce,' the report states. It found that the average approval in April was €337,700, up 7.8% on the year, reflecting the current pace of average pay growth at 5%-6%. The report states: We now know the average first-time-buyer borrowed 3.4 times their income in 2024, up from a 3.2x multiple in 2022. MyHome managing director Joanne Geary. The firm's latest report states that the average first-time-buyer borrowed 3.4 times their income in 2024, up from a 3.2x multiple in 2022. Picture: Tom Honan 'This change has pushed up house prices by €15,000-€20,000.' MyHome managing director Joanne Geary said: 'When MyHome released our property report for Q1 last April, there was considerable concern about the effect of a potential trade war on the property market. 'Now, after months of speculation, threats, and uncertainty, we can see that the potential of punitive tariffs has had a limited impact on the housing market, with strong demand still in evidence.' She said annual asking price inflation around the country is now running at 7%, compared with 8% at the end of the first quarter. Dublin has seen an increase of 5.1% in asking prices over the year while, outside the capital, asking prices have risen by 7.9%. The median price in Cork was €325,000 in the second quarter of the year, with inflation at 10.2% and Cork City prices up even more sharply by 11.7% to €335,000. 'Average mortgage approval values and volumes have soared to record highs,' she said. The most recent Banking & Payments Federation Ireland data for May shows total mortgage approval values are up by a staggering 17.8% over the year, while the number of approvals has risen by 10.5%. 'Competition for homes is still intense, with an average time to sale agreed of just 2.6 months and the average home selling for 7.5% over the asking price.' She added: 'As has been the case for some time, we have yet to see a significant uptick in supply. 'At end-June 2025 there were 12,563 properties listed for sale on MyHome, up by just 1% compared with the same period of 2024. 'This stagnant level of growth is unhelpful and will give no solace to a Government in desperate need of home completions.' She said that while there will be "some improvement" in the number of completed houses in 2025, the numbers will "fall well short" of the 50-60,000 units required in 2025.
Yahoo
09-06-2025
- Business
- Yahoo
US Treasury Secretary Scott Bessent says Trump is focused on mortgages, cars, real wage gains
Moneywise and Yahoo Finance LLC may earn commission or revenue through links in the content below. In a stunning reversal of policy, President Donald Trump slashed 'Liberation day' tariffs on China from 145% to 30% for 90 days as of May 14. The landmark agreement between the world's two largest economies has gained traction — erasing the stock market's losses in the wake of 'Liberation day' tariffs in early April. While negotiations are still ongoing, U.S. Treasury Secretary Scott Bessent said that the goal is to drive strategic decoupling between the two superpowers. 'We do not want a generalized decoupling from China,' Bessent said during an interview with CNBC. 'But what we do want is a decoupling for strategic necessities, which we were unable to obtain during Covid and we realized that efficient supply chains were not resilient supply chains.' Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how BlackRock CEO Larry Fink has an important message for the next wave of American retirees — here's how he says you can best weather the US retirement crisis Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) However, industry-specific tariffs remain in place. This is part of Trump's greater push to revive the country's manufacturing sector. 'We are going to create our own steel. [Tariffs] protect our steel industry. They work on critical medicines, on semiconductors,' Bessent said 'We are doing that, and the reciprocal tariffs have nothing to do with the specific-industry tariffs.' But affordability remains one of the biggest concerns for Americans. The average tariff rate on imports stands at 17.8% — the highest since 1934. This is expected to cost median households in the U.S. approximately $2,800, according to a recent Yale Budget Lab report. However, Bessent argues that affordability isn't just about cheap imports — it's about ensuring Americans can build real financial security. 'What I'm saying is the American dream is not 'let them eat flat screens,'' Bessent noted during an appearance on NBC's Meet the Press. 'If American families aren't able to afford a home, don't believe that their children will do better than they are [doing], the American dream is not contingent on cheap baubles from China, it is more than that. And we are focused on affordability, but it's mortgages, it's cars, it's real wage gains.' Read more: Rich, young Americans are ditching the stormy stock market — Bessent's remarks highlight one of the most pressing financial issues for Americans today: the soaring cost of homeownership. Over the last decade, U.S. home prices have surged, with the S&P CoreLogic Case-Shiller U.S. National Home Price Index nearly doubling. Federal Reserve Chair Jerome Powell has acknowledged the severity of the problem, pointing to supply constraints as a key driver. 'The real issue with housing is that we have had, and are on track to continue to have, not enough housing,' Powell said at a press conference in September. He explained that 'all aspects of housing' face challenges, including the zoning of land in desirable locations. 'Where are we going to get the supply?' he asked. The gap between supply and demand is significant. An analysis by Zillow in June estimated the U.S. housing shortage at 4.5 million homes as of 2022. There's also the issue of high mortgage rates, which stand at around 6.67%, meaning borrowing money to buy a home remains expensive. If you're in the market for a home, Freddie Mac recommends shopping around by obtaining quotes from three to five lenders to secure the best mortgage rate possible. Even a small rate reduction can translate into significant savings over the life of a loan. Bessent also pointed to cars as part of America's affordability issue. Even though pandemic-induced supply chain disruptions and chip shortages have eased, the cost of owning a car remains high. According to the American Automobile Association (AAA), the total cost of owning and operating a new vehicle in 2024 has climbed to around $12,297 per year — or $1,024.71 per month. One major recurring expense is car insurance, and many people overpay without realizing it. According to Forbes, the national average cost for full-coverage car insurance in 2024 was $2,149 per year (or $179 per month). However, rates can vary widely depending on your state, driving history and vehicle type. By using you can easily compare quotes from multiple insurers, such as Progressive, Allstate and GEICO, to ensure you're getting the best deal. In just two minutes, you could find rates as low as $29 per month. With home values higher than ever, you can make your home work harder for you by making the most of your equity. The average homeowner sits on roughly $311,000 in equity as of the third quarter of 2024, according to CoreLogic. Having access to your home equity could help to cover unexpected expenses, pay substantial debt, fund a major purchase like a home renovation or supplement income from your retirement nest egg. Rates on HELOCs and home equity loans are typically lower than APRs on credit cards and personal loans, making it an appealing option for homeowners with substantial equity. JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it's too late) Are you rich enough to join the top 1%? Here's the net worth you need to rank among America's wealthiest — plus a few strategies to build that first-class portfolio You're probably already overpaying for this 1 'must-have' expense — and thanks to Trump's tariffs, your monthly bill could soar even higher. Here's how 2 minutes can protect your wallet right now Access to this $22.5 trillion asset class has traditionally been limited to elite investors — until now. Here's how to become the landlord of Walmart or Whole Foods without lifting a finger Terms and Conditions apply. NMLS# 1136 This article provides information only and should not be construed as advice. It is provided without warranty of any kind. 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
IOL News
06-06-2025
- Business
- IOL News
No Permanent Friends nor Foes in Global Politics
Chinese President Xi Jinping shakes hands with European Commission President Ursula von der Leyen as they leave after holding a trilateral meeting, which included the French President, as part of the Chinese president's two-day state visit, at the Elysee Palace in Paris, on May 6, 2024. The idea of the world changing has become a habit, year-on-year, that statement provides no new information. Nonetheless, this opinion points out that what is happening [with strong support] is that global relationships are changing–old friends have become foes and new friends have been foes. This particular change rings true for the US and elsewhere. It also provides hope for ongoing disagreements, conflicts and war. Looking at tariffs, China has seen some of the highest rates against it by any country, in the form of Trump's Liberation day tariffs. Since 14 May, both the United States and China have agreed to suspend 90% of their Liberation Day tariffs for a period of 90 days and have withdrawn several other retaliatory duties. As a result, tariffs imposed by the US on Chinese goods dropped to 30%, while China will reduce its tariffs on American products to 10%. Although this does not signify a friendship, it does signal a willingness to reconvene on measures through communication. It indicates that the relationship between China and the US were at its worst when the US announced the Liberation Day tariffs (145%) against China. China and the European Union have traditionally maintained stable relations, with minimal conflict over core interests and strong economic and cultural ties. By 2022, China had become the EU's top import source and third-largest export destination, with bilateral trade surpassing €856 billion. European firms like Siemens, Airbus, and BMW are heavily invested in the Chinese market, fostering collaboration in technology and industry. However, mounting political pressure from the United States has disrupted this trajectory, prompting the EU to impose curbs on Chinese tech companies, scrutinise investments, and restrict academic exchanges—moves driven more by external influence than inherent discord. Amid Donald Trump's renewed political presence and his assertive 'America First' stance, the EU is increasingly recognising the value of strategic autonomy, pushing for a more balanced foreign policy and a reimagined, independent engagement with China. BRICS has played a fundamental role in relationship-building, particularly amongst those members of the global south. In fact, the beginning of this year saw Indonesia join as an official member of BRICS and official partners: Belarus, Bolivia, Cuba, Kazakhstan, Malaysia, Nigeria, Thailand, Uganda, Uzbekistan. These relationships entail economic, social, political, and environmental engagement fostering a commitment to shared development. The grouping is instrumental regarding the strong relationships between–China-Russia, China-South Africa, South Africa-Brazil. The grouping reinforces the autonomy of its members and partners often creating a revived awareness of previous or current relations that are or were exploitative and infringes national autonomy. On the point of relations there exists wars and conflicts that seem very permanent with no resolution in sight. The Russia-Ukraine conflict has seen devastations that killed many. Many countries are attempting to find a solution to the situation, for example, China, the EU, and South Africa. Putin and Trump's relationship appears strained by recent reports, as Trump attempts to have Ukraine & Russia come to a consensus, his efforts have seemingly rendered itself meaningless. The Israel-Palestine conflict is one that has perpetuated for many years since 1948 when Israel became a sovereign state. This conflict puts to task the notion that there are no permanent enemies. It has no real time when it will stop, even with external efforts to alleviate the issues. The US has positioned itself as an ardent supporter of Israel and other nations, like South Africa, are bastions for the cause of the Palestinian people. It is thus unsurprising that the US, under Trump, has accused South Africa of a fictitious 'white genocide' as South Africa has taken Israel to the International Court of Justice (ICJ) for the genocide of the Palestinian people. There are, in fact, very real genocides (at cumulative recorded deaths) in Sudan and the Democratic Republic of Congo (DRC) as examples. The principle that there are no permanent friends or foes in global politics is more visible in today's rapidly shifting geopolitical climate. Relationships once thought stable—like those between the US and the EU—are evolving under pressure, revealing both fragility and potential. While tariff wars and political tensions mark deep rifts, temporary pauses in hostility and renewed dialogue suggest that cooperation remains possible, even after periods of hostility. However, perpetual conflicts such as those in Ukraine and Palestine challenge this notion, raising critical questions about whether some enmities can truly end. Amid this complexity, BRICS and its expanding network offer hope for a more balanced, multipolar world—where nations from the Global South engage on more equal terms, are weary of external pressures, and reaffirm their sovereignty through strategic partnerships. In a world of fickle loyalties and enduring struggles, BRICS stands as a testament to the possibility of resilient and principled international cooperation. Written By: *Cole Jackson Lead Associate at BRICS+ Consulting Group Chinese & South American Specialist **The Views expressed do not necessarily reflect the views of Independent Media or IOL.
