Global Markets:
- Asian Stock Markets : Nikkei down 0.58%, Shanghai Composite down 0.17%, Hang Seng down 0.38% ASX down 0.18%
- Commodities : Gold at $3318.35 (-0.89%), Silver at $37.28 (-1.19%), Brent Oil at $68.0 (-0.39%), WTI Oil at $66.28 (-0.3%)
- Rates : US 10-year yield at 4.329, UK 10-year yield at 4.547, Germany 10-year yield at 2.5660
News & Data:
- (GBP) Construction PMI 48.8 to 48.6 expected
Markets Update:
Asia-Pacific markets traded mixed on Monday as investors reacted to fresh tariff developments from the U.S. President Donald Trump confirmed that the “reciprocal” tariffs first unveiled in April will officially take effect on August 1 for countries that haven’t reached a deal. Additionally, Trump announced a new 10% tariff targeting nations “aligning themselves with the anti-American policies of BRICS,” as the bloc gathered for a summit in Rio de Janeiro. He did not provide further details on this measure.
U.S. Treasury Secretary Scott Bessent echoed Trump’s remarks, stating that while August 1 is not a new deadline, it gives trading partners extra time to negotiate or finalize agreements.
In regional markets, Japan’s Nikkei 225 declined 0.53%, and the Topix index slipped 0.57%. South Korea’s Kospi edged up 0.19%, while the Kosdaq gained 0.16%. Australia’s S&P/ASX 200 dipped 0.11%. Hong Kong’s Hang Seng fell 0.61%, and mainland China’s CSI 300 dropped 0.12%. Meanwhile, the Reserve Bank of Australia began its two-day meeting, where a 25 basis-point rate cut to 3.60% is widely expected.
U.S. stock futures retreated following Trump’s tariff confirmation. Dow futures slid 146 points (0.32%), while S&P 500 and Nasdaq 100 futures were down 0.39% and 0.42%. This followed Friday’s gains, where the S&P 500 and Dow closed at record highs amid strong bank earnings.
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