Trump’s tariffs hammer global risk appetite | MarketTalk: What’s up today? | Swissquote

Risk sentiment is on the floor this morning after Donald Trump imposed 25% tariff on most Mexican and Canadian imports and 10% tariff on Chinese imports which will take effect from tomorrow – a move, I believe, will certainly backfire and end up in tears for everyone. But it will first add volatility and chaos to the financial markets. The first market reaction on Monday’s open is a swift move to the US dollar. The Mexican peso gap-opened at the lowest levels since March 2022 and the USDCAD jump-opened and flirted with the 1.48 level, the euro fell and crude oil jumped. Yet, the upside potential in the US dollar will likely be limited by lower growth prospects for the US economy as well, while oil companies will hardly benefit from Trump-led rise in oil prices. Equities will likely suffer on both sides of the Atlantic Ocean. Listen to find out more!