What is important today in the US and global market
Author Mike Dolan, editor, financial industry and financial markets
It’s Friday, so today I will provide a quick overview of what is happening in global markets, and then offer you some suggestions for reading a weekend away from the title.
Today’s market minute
* US President Donald Trump on Thursday threatened to stink at 200% of wine tariffs, cognac and other imports of alcohol from Europe, opening a new front in a global trade war that developed financial markets and raised the fear of recession.
* The top American Senate Democrat Chuck Schumer said he would vote to improve the Republican financing law, signaling that his party would provide votes to exclude the Government.
*The European Central Bank has given Unicredit to purchase up to 29.9% of Commerzbank, the Italian Bank said on Friday, adding that it will probably wait until next year before deciding whether to continue the acquisition.
* The German Chancellor who was waiting for Friedrich Merz called on Thursday skeptical legislators to support their proposals for a huge increase in state borrowing, framing them as a test for Germany standing high on the world stage and protecting European security.
* Chinese office Hong Kong and Macau Office posted a comment that criticized CK Hutchison Agreement with the American Blackkock company as a betrayal of China, on Friday sent a Konglomerate shares based in Hong Kong.
Off
On Thursday, the S&P 500 refused a technical correction of 10%from 2023 from 2023, but at the end of the tumultuous week it can get a little relief from the signs that it can be prevented by partially excluding the US government.
With losses greater than 4% for a week to Thursday, the S&P 500 was on his way to his worst week in two years, but she bounced overnight because one of the more clouds hanging over the market after the bell.
The best Democrat of American Senate Chuck Schumer said he would vote to improve the Republican financing laws, signaling that his party would provide the voices necessary to turn off the Government before the re -deadline on Friday.
But the risk of partial exclusion of the Government was just one of the insecurity that weighed in supplies, which include escalating the global trade war and fear that it could sow a rare fall of the economy.
With several major economic updates this week and the latest meeting of the federal reserves that arrive next week, the markets are likely to focus on the latest surveys of the University of Michigan on consumer trust.
Economic jerks seem to undermine investment trust outside the shares, as high -bond risk premiums have expanded their recent lowest, without further declines in reference vaults.
The so -called garbage on the Index of corporate bonds under investment, spread to their widest on Thursday in more than six months on 340 base points, and high yield meters hit the highest since November 2023.
Foreign, stock indexes have taken a break on Friday because the futures wall streets are stabilized, despite current losses in some sectors in Europe, cautiously towards the upcoming American tariffs.
Chinese sections from the mainland jumped more than 2% on hopes for fresh domestic stimuli. Chinese financial regulators have called on institutions to increase consumption support, promising in a statement on Friday to relax consumer loans and loan conditions.
In the meantime, the dollar marked more, and gold rose to another record.
Prepositions to read weekend
Here are some articles away from everyday titles that will be interesting to you.
* Former head of the India’s Spare Bank and former IMF main economist Raghuram Rajan takes a “Trumponomy” on the task of Project Syndicate and asks if Trump’s agenda is worth it if the price is an American “exaggerated privilege”.
* Washington’s Institute for International Finance today looks at Trump’s policy and Fretts on the sustainability of the American debt trajectory, and its models show tax increase or reduction of consumption of over 2.5% of GDP needed to put a ship.
* Voter regret? Reuters shows how to reduce jobs to the pain of Trump’s supporters.
* Three -month review of the bank for international settlements this week spoke of the risks that the markets and economy face because of the “tariff wrapped in uncertainty” and “races between the path of growth and path of debt”.
* This year’s Central Banking Economic Research Award goes to Adrian, Boyarchenko and Giannone for their work on the ‘growth at risk’ and the use of financial conditions for foreseeing falls.
* As European defense and fiscal policy are transformed this year, and the defense supplies have increased, Reuters journalists show how many European money managers are reviewing ESG policies to find ways to participate in shift.
* Meanwhile, former Airbus chief Tom Enders invites Europe to prepare for the worst leading race to build armed robots.
* The unbelieving world of restructuring sovereign debt and “unusual debt” turns into Syria, as explained by the Adnan Mazarei Institute of Peterson for the international economy.
* Speaking of ‘disgusting debt’, some financiers examine what could happen if those on a frugal ride in a US treasureon look at the long -term unpaid British debts to America from World War I.
* As the world is referring to the five years since the pandemic, many are still directly influenced by Emma Batha Foundation ThomsonreuS explains with her feature on “Parents in the UK to leave a job to take care of children with a long fork.”
Chart of the day:
Next week, it brings to move the main meetings of a central bank that would usually hold the world markets in Thralla. But the proportion of American politics and developing a global trade war means that monetary relief in the past year is likely to stop while central bankers are going to the side and considering relegation.
Today’s Watching events:
* Survey on consumer feelings of the University of Michigan; Canada in January sales
* Member of the Committee of the European Central Bank Piero Cipollone speaks
* American corporate earnings: Hudson Global, drilling tools, Weride, Gogo
* Secretary General NATO Mark Rutte in Washington
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