Global markets are shaken by Trump … and the dollar jumps

Global stock markets in Europe and Asia fell on Monday, when a sharp sale has witnessed yet. US President Donald Trump for the imposition of huge customs duties on imports from Canada, Mexico and China during the weekend. This decision has sparked concerns among investors about the impact of these fees on financial markets, which led them to prepare for possible economic fluctuations.

Analysts pointed out that comprehensive customs duties, which include 25% fees on imports from Canada and Mexico, 10% on Canada’s energy products, and an additional 10% on Chinese goods, will lead to vibration of investor confidence. Some of them hoped that Trump’s threat to the drawings would be just a pressure sheet or gradually taking action.

Sharp losses
European markets declined sharply after the. For these drawings. The European “Stoxx 600” index decreased by 1.3% at the opening, and most sectors witnessed a decrease, including cars that decreased by 4%, and the technology, industry and mining sector by at least 2%. The German “DAX” index also decreased by 1.7%.

A leap in oil prices due to fears of supply disorder
Energy markets interacted negatively with Trump’s decisions, which led to leaps in oil prices due to anxiety of supply disorder. The value of commercial transactions between the United States, Canada, Mexico and China is about $ 1.6 trillion, which increases the complexity of the economic image.

Asian stock markets under pressure
Asian stock markets were affected by a sharp decline in the shares of car companies such as Toyota, Honda and Kia, as they have factories in Canada and Mexico that will be affected by customs duties. On the Tokyo Stock Exchange, the “Nikki” index lost 2.42% of its value, while the broader “Topix” ​​index fell 2.25%. In Australia, the shares witnessed its worst day in five months, with the index decreased by 1.8%.

The US dollar achieves a clear benefit
At the same time, the US dollar has witnessed an increase, while other currencies such as the Canadian dollar, which reached its lowest level since 2003. This rise in the dollar comes due to expectations that customs duties will lead to an enlarged and high interest rates in the United States, which enhances the attractiveness of the dollar As a safe haven.

Current currencies are affected by the repercussions of the trade war
The prices of encrypted currencies decreased sharply after the. On customs duties. Bitcoin decreased to its lowest level in three weeks, recording a decrease of 6.5%, while Ethaer fell 20% to 2483.69 dollars. Other currencies such as “XRP” and “Dujakin” also decreased by 23% and 24%, respectively.

Gold and oil
Gold prices also declined in Asian transactions under the pressure of the dollar, while oil prices witnessed a decrease with the markets’ response to new economic decisions. (Arabic)