Trade Deal Optimism Fuels Stock Market Surge
Market Highlights
Bitcoin Breaks Record
Bitcoin exceeded $112,000 for the first time, buoyed by confidence in risk‑assets and global market momentum.
Tariff Developments
- US has broadened its tariff list, including a 50% duty on copper and a potential 200% levy on pharmaceuticals.
- Negotiations are ongoing with over 20 trading partners, such as Japan and South Korea, to avoid the most costly impacts of President Trump’s measures.
- Brazil faces a 50% tariff, with President Lula preparing reciprocal duties.
Global Stock Performance
- Asian equities surged, with Hong Kong, Shanghai, and Singapore showing gains.
- Tokyo edged down as Wellington gained strength.
- North America reached all‑time highs, with the S&P 500 and Nasdaq climbing on Wall Street momentum.
Interest‑Rate Outlook
- Fed minutes revealed uncertainty over the timing, size, and duration of rate changes.
- Companies may delay price hikes until inventory stocks are depleted, but tariff‑related supply‑chain disruptions could trigger lasting inflation.
- President Trump criticised Fed policy, calling rates “at least three points too high.”
Key Figures (23:30 GMT)
- Nikkei 225: down 0.5% at 39,610.61 (break)
- Hang Seng Index: up 0.2% at 23,938.07
- Composite Shanghai: up 0.3% at 3,503.13
- Euro/Dollar: up at 1.1741 vs 1.1719
- Pound/Dollar: up at 1.3608 vs 1.3590
- Dollar/Yen: down at 145.95 vs 146.30
- Euro/Pound: up at 86.28 pence vs 86.21
- WTI Crude: down 0.2% at $68.28 per barrel
- Brent Crude: down 0.1% at $70.15 per barrel
- Dow: up 0.5% at 44,458.30 (close)
- FTSE 100: up 0.2% at 8,867.02 (close)
Despite looming trade tensions, markets continue to rally, driven by optimism around policy flexibility ahead of the US election cycle.
