...and so the US dollar recovers some ground, with DXY up to 101.6
...notably the Euro is down -1.24% against the dollar and the dollar rising +1.66% against the Yen and +1.52% against the CHF.
...pressure valve released
...BUT the US 10 yr yield continues to rise despite the 'trade deal' to 4.447pc!
...Gold getting hit -3.11% to $3222 with $3,200 providing crucial support.
...lots of businesses losing money importing earlier with +145% tariffs!
...and this reduction leaves open with uncertainty if tariffs on China would remain at 30% after 90 days or go higher or go lower. Importers at a loss what action to take because this could just be a temporary truce. Or it could get lower, in which case, they may want to continue holding back until after 90 days.
...what Trump 2.0 does not realise is that uncertainty means a pause in doing trade and that is probably worse than a higher tariff in itself.
