Trade war is back into the spot light today, sparkled by Trump's Bloomberg interview with hostile comments on EU and China. Investor sentiments are clearly weighed down. At the time of writing, FTSE is down -0.58%, DAX down -0.75% and CAC down -1.04%. That followed broad based selling in Asian, with HK HSI down -0.98%, Shanghai SSE down -0.46%. Nikkei, though, was resilient and closed just down -0.02%. Naturally, Yen and Swiss Franc are the strongest ones today on risk aversion. Dollar follows as the third strongest one, as it's always stronger when trade tensions rises. Commodity currencies are broadly pressured with steep selling seen in Canadian Dollar in early US session. Let's not forget that today's the the dead for Canada-US trade talk that Trump unilaterally, forcefully imposed. Words from officials have been positive on the talks up till yesterday. But a news report emerged today saying that the negotiations have turned sour. And a deal couldn't be met by the end of the day. Let's see. |
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