BEFORE THE BELL: US-China trade war moves ahead; oil slips following gas-heavy holidays; StatsCan jobs report coming
Trump’s tariff attack is barreling ahead today, but global markets aren’t swooning just yet.
Tariffs on over $34 billion in Chinese imports came into effect this morning, triggering retaliation from China on US imports. But, analysts say the investor confidence doesn’t seem to be impacted at the moment by the sudden change in economic climate. However, experts suggest now that Trump’s China-focused attack has started, he may turn his attention back to Canada to make good on his threat to impose a 25 per cent tariff on auto imports.
As the trade war moves into full throttle, traders will be watching Wall Street to see the reaction this morning. The Dow has mostly remained unaffected by the tariff talk this week.
The price of crude is losing ground as Trump continues his attack on OPEC. The President accused the global regulator of meddling with prices and demanded a reduction on the global scale. Now that gas demand is coming off its peak following the July holidays for Canada and the US, the price of US crude is slipping to 72.30 a barrel.
Ahead of a StatsCan jobs report coming today, the Loonie is sliding to 76.08 cents US.