Tariff Wave Expands with Metals and Reciprocal Duties, Dollar Strengthens Slightly
| Action Insight Daily Report 2-10-25 |
Tariff Wave Expands with Metals and Reciprocal Duties, Dollar Strengthens Slightly |
Trade tensions remain at the forefront of market concerns as the US prepares to roll out another wave of tariffs. Over the weekend, President Donald Trump confirmed plans to impose a 25% tariff on all steel and aluminum imports, adding to the existing duties on these metals. The official announcement is expected today. Meanwhile, "reciprocal tariffs"—which would match the import duties imposed by other countries—are set to be unveiled between Tuesday and Wednesday, with immediate implementation. The largest suppliers of steel and aluminum to the US are Canada, Brazil, and Mexico, followed by South Korea and Vietnam. Canada, in particular, dominates the aluminum export market to the US, contributing 79% of total imports in the first 11 months of 2024. The announcement raises questions about how these countries might respond, given that Canada and Mexico only recently secured a temporary reprieve from tariffs on other goods. Interestingly, Hong Kong’s stock market has shown resilience, posting extended gains despite escalating trade tensions. Investors appear unfazed by the recent flurry of US tariff news, as well as China’s retaliatory levies on select American products. The factors supporting Hong Kong’s optimism remain unclear, and more time would be required to assess whether regional equities can maintain this momentum if trade frictions intensify further.... |
AUD/USD Daily Report Daily Pivots: (S1) 0.6251; (P) 0.6275; (R1) 0.6296; More... AUD/USD dips mildly today but stays above 0.6239 minor support. Intraday bas stays neutral first. With 0.6329 resistance intact, outlook will stay bearish. On the downside, break of 0.6239 minor support will turn bias back to the downside for retesting 0.6087 low. However, firm break of 0.6329 will bring stronger rebound to 38.2% retracement of 0.6941 to 0.6087 at 0.6413, even just as a corrective move. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:50 | JPY | Bank Lending Y/Y Jan | 3.00% | 3.10% | 3.10% | 3.00% | | 23:50 | JPY | Current Account (JPY) Dec | 2.73T | 2.73T | 3.03T | | 05:00 | JPY | Eco Watchers Survey: Current Jan | 49.7 | 49.9 | | 09:30 | EUR | Eurozone Sentix Investor Confidence Feb | -16.4 | -17.7 |
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