Latest news with #TradePolicy
Reuters
3 hours ago
- Business
- Reuters
Trump's steel tariff plan to have 'minor' impact on India, says minister
NEW DELHI, June 2 (Reuters) - The impact from U.S. President Donald Trump's plan to increase tariffs on steel and aluminium products is likely to be "minor" as India does not export steel to the U.S. "in a big way", federal steel minister HD Kumaraswamy said on Monday.
Zawya
3 days ago
- Business
- Zawya
Euro zone yields set for biggest weekly fall since mid-April, await US data
Euro zone benchmark Bund yields were on track on Friday for the biggest weekly decline since mid-April as investors focused on the long-term adverse economic impact of U.S. trade policy. Borrowing costs fell on Thursday on risks of extended policy and economic paralysis. Germany's 10-year government bond yield, the euro zone benchmark, was last up 2 basis points at 2.53%, after hitting 2.497% a fresh three-week low. It was set for a 4.5 bps weekly drop. A U.S. appeals court reinstated U.S. President Donald Trump's tariffs on Thursday, leaving Wall Street with no clear direction a day after most of the tariffs were blocked by a trade court. Markets didn't react on Friday to inflation figures from German states, which painted a mixed picture. National figures will be released at 1200 GMT. Euro zone bank lending continued to rebound last month, likely reflecting lower interest rates, European Central Bank data showed on Friday. Investors expect U.S. Personal Consumption Expenditures (PCE) price index data, the Federal Reserve's preferred inflation gauge, later in the session. "U.S. data may play a more instrumental role for euro rates than domestic data, given that a hit to global risk sentiment can bull flatten the euro curve," said Michiel Tukker, senior European rates strategist at ING. "Yet with 10-year Bunds trading around the level of swaps, markets are already positioned for more headwinds and uncertainty ahead," he added. The gap between interest rate swaps and Bund yields was at minus 2.5 bps on Friday. It hit its all-time low at around -16 bps in early March. It was around 25 bps in October 2024, before a German political crisis. The benchmark 10-year U.S. Treasury yield was flat at 4.42%, after declining on Thursday on soft economic data and fears of prolonged trade policy uncertainty. Markets price in a 90% chance of an ECB 25 bps rate cut next week. They also indicated a deposit facility rate at 1.70% in December, implying two rate cuts and a 20% chance of a third easing move. The ECB will almost certainly cut interest rates on June 5, with a more than 70% majority of economists polled by Reuters expecting policymakers to pause for the first time in a year in July despite a weak economy at risk from the U.S.-led trade war. Italy's 10-year yield rose 2 bps to 3.52%, after dropping to 3.488%, its lowest level in 3 months. It was on track for a weekly drop of 8.5 bps, the biggest since mid-April. The gap between Italian and German yields was at 96 bps after reaching 89.80 bps on Thursday, its lowest since February 2021. (Reporting by Stefano Rebaudo. Editing by Mark Potter)
Reuters
26-05-2025
- Business
- Reuters
Thai April exports slightly above forecast but growth slows
BANGKOK, May 26 (Reuters) - Thailand's export growth slightly beat forecast in April but was slower than the previous month, while the commerce ministry warned of challenges from U.S. tariffs in the second half of the year. Exports (THCEX=ECI), opens new tab rose 10.2% in April from a year earlier, compared with a 9.1% year-on-year increase seen in a Reuters poll, and followed March's 17.8% rise. Exports, a key driver of the Thai economy, should continue to increase in the current quarter, Poonpong Naiyanapakorn, head of the Trade Policy and Strategy Office, told a press conference. In April, exports to the United States, Thailand's biggest market, increased 23.8% from a year earlier, while shipments to China rose 3.2%. Exports of computers and parts surged 75% in April from a year earlier, while shipments of agricultural goods declined 19.6%, with rice export volumes down 37.3% annually. Thailand's exports in the second half of the year will face a risk of U.S. tariffs after a moratorium expires in July, the ministry said in a statement. Thailand faces a 36% U.S. tariff if a reduction cannot be negotiated with Washington before the moratorium ends. The United States has set a 10% baseline tariff for most nations while the moratorium is in place. Discussions with the U.S. trade representative have been positive, Commerce Minister Pichai Naripthaphan told the press conference. Exports should remain "the hero" this year for Thailand, he added. "Our exports have stronger fundamentals. We have more stable market distribution," Pichai said. "Let's not be too pessimistic". In the January-April, exports increased 14% annually. Imports (THCIM=ECI), opens new tab rose 16.1% in April from a year earlier versus a forecast rise of 8.5%. Thailand recorded a trade deficit (THCTR=ECI), opens new tab of $3.3 billion last month, compared with a forecast deficit of $0.80 billion. Pichai said in a worst case scenario, exports should grow more than 4% this year, beating a ministry target of 2% to 3%. Last week, he said exports would also be helped by increased shipments to countries other than the United States.
Reuters
26-05-2025
- Business
- Reuters
Rupee rises above 85/USD hoisted by fragile dollar, stronger yuan
MUMBAI, May 26 (Reuters) - The Indian rupee and other Asian currencies extended their recent rallies on Monday, as abrupt shifts in U.S. trade policy and concerns over fiscal health kept the dollar under pressure. The rupee rose past the 85 per U.S. dollar mark for the first time in two weeks on Monday, extending its 0.9% surge seen on Friday. The currency was last quoted up 0.4% at 84.82. The dollar index was hovering at an over one-month low of 98.8, down 0.3% on day, after U.S. President Donald Trump set a July 9 deadline for a trade deal with the European Union after threatening a 50% tariff from June 1. Meanwhile, the Chinese yuan's rise to a 7-month high, following provided another tailwind to regional currencies. Asian currencies have risen by as much as 7% on the month so far but the rupee has remained a laggard with a 0.3% decline. "Markets have also seemingly perceived that President Trump is looking for a weaker US dollar versus several Asian currencies as part of bilateral trade negotiations," MUFG Bank said in a note. "Any signs of FX discussion with the US could still be an upside risk to Asian currencies in the near term," the note added. Meanwhile, dollar-rupee forward premiums fell on Monday as the rupee extended its recent rally and near-tenor U.S. bond yields nudged higher. The 1-year dollar-rupee implied yield dipped below the 2% handle for the first time in two months and was last quoted at 1.99%. Uncertainty about future path of Federal Reserve policy rates alongside firm expectations of rate cuts by the Reserve Bank of India may continue to weigh on dollar-rupee forward premiums in the near-term, a trader at a bank said.
Yahoo
23-05-2025
- Business
- Yahoo
Dow Jones Futures Tumble As Trump Threatens 25% Tariff On Apple, 50% On EU
President Trump wants Apple to build the iPhone in the U.S. or face a 25% tariff. He's says European Union talks aren't making progress.
