Mexico enters the US tariffs against Canada
The shares of trade in Wall Street in general, the United States and its main trading partners, have escalated on Tuesday morning, but the uncertainty over tariffs has spread to scattered global markets.
Tariffs between the United States, Canada, Mexico and China have helped expand the last decline in US shares, which prompted the weakness of the economy.
The S & P 500 fell by one percent, which weighed almost every field, except for the relatively safe investment of real estate and utilities.
The main Canadian stock index has almost 500 points, and Dow Jones Industrial Meality, one of the largest health indicators of the US economy, and 12 o'clock. As of 48 and 1.3 percent. The NASDAQ composite decreased by 0.3%, considering that the heavy technological index approaches the high level of its latest closure, which is what the market considers correction.
In Europe markets fell sharply, and Asia shares had a more modest decline.
Drops are watching steep sales on Monday. In general, the decline has deleted the interests of all markets since US President Donald Trump, mainly built on Trump's policy, which will strengthen the US economy. He warns of increasing consumer prices and increasing inflation, weigh both the economy and Wall Street.
Imports from Canada and Mexico must now be taxed by 25%, Canadian energy products that are subject to 10% import responsibilities. The 10% tariff that Trump on Chinese imports in February has doubled to 20%.
Revenge were fast.
Canada has already slapped tariffs on US goods worth $ 30 billion and promised to invest $ 125 billion for $ 125 billion. Ask Prime Minister Justin Truden, citing the Wall Street magazine, called Canada's target, adding that more tariffs arise if Trump returns.
China answered the new US tariffs, announcing that it will cut additional tariffs for the import of major US agricultural products, including chicken, pork, soybeans and beef. Mexico also plans tariffs for imported goods imported from the United States
The dollar was shocked
The US dollar's index hit its lowest level on Tuesday morning, as concerns about the impact of tariffs on a broader US economy were expected.
“We have seen that the dollar has weakened, but I think this reflects the assumptions of markets on how to have a negative impact, but also Brian Dangsfield, Brian Dangsfield.
After hitting the one-month low level following Trump's tariffs, the Canadian dollar was a little strengthened overnight, and investors in the Japanese Yen and Swiss franc.
Analysts say many in the market hope tariffs can be rapidly increased if transactions can be hit.
“Price operation suggests that market participants hope that the increase in tariffs will not remain on the spot to limit trade and economic failure.
Market Reaction Mixed In Conditions of Uncertainty
Uncertainty adjacent to the trade war. Experts are unclear how long tariffs and countermeasures can last one of the reasons for the start market.
“What we don't know is the duration, and it's key,” Derek Holt, Vice President and Capital Markets Economics are celebrated in the post. He added that victory could be an unstable figure in terms of making his decision, so it is unclear how he is dedicated to the maintenance of tariffs.
“If they last, the consequences of the North American) economy and markets will be much higher. It can't take a long time, taking into account the car guide that the transfer can be started for about a week after arrival.
The Holt said that the response to Canada, Mexico and China have not been so extreme at this stage, as the United States has been accepted, restricting some damage.
Before Canada meets the tariffs of 25 percent, the opposites target the smaller amount of US import. China's tariffs will not come into force until March 10, and Mexico will not announce that its counterattacks will be directed by Sunday.
But the markets continue to hesitate, as the reality of the tariffs is falling, and we have not yet seen the full consequences, say analysts.
“Markets are breaking today,” the Canadian press told the COLFOLI manager and the main strategy of the Chief Market of Sea Wealth Management.
“It's not just Canada. It is roar of US markets, European markets remain hammer, even Asian Pacific markets have fallen down. “
If the tariffs remain for a year, Canada will “stop a moderate risk” – the main economist of the Montreal Bank Douglas Porter.
“Given the lack of a historical precedent, we estimate that tariffs will reduce about 1.5 pages of about 1.5 pages in 2025,” it refers to Canada's GDP.
Retailers, companies warn
Tariffs warn retailers, including target and best purchases, as they report their recent financial results. The target fell by 4.6%, although he was beaten by Wall Street's earnings, he reported that he would be “meaningful pressure” due to his profits, tariffs and other expenses.
The best price fell 14.1 percent, expected revenue forecast and warning of tariff expansion after giving investors.
The cars, one of the worst in the trade war, already reported that losses give losses on Tuesday. Ford and General Motors, who have huge supply networks in North America, have decreased by three percent and 3.6 percent.
For the innovation of the alliance, a commercial group representing almost all large cars in the United States warned that the trade war would lead to sharp prices, and some vehicle models expected to add 25 percent.
25% of US President Donald Trump will start 25% of Canadian goods on March 4. The National Adrienne Arsenault, the nationalist, asked the journalists and business to answer the TV viewer's questions about how many tariffs on prices, a possible decline and canadian diplomacy.
Some of the effects in Canada were immediately at the consumer level. Ontario's Liquatory Board, which sells liquor products to the public, closed its website on Tuesday, while it defines US products in response to tariffs.
Alcohol giant sells about $ 1 billion a year in US products, Ontario Prime Minister Dug Ford said on Tuesday.
Business owners in Canada worry the news. Henderson Brewing President Steve, told CBC News Network that the company is already making changes in its business plan.
“We'll get this pain feeling in days or weeks. But its uncertainty is something we feel right for this minute, “he said. “Will this last a week or a month? We don't know. “
