Iron Ore Gains on Optimism US-China Trade Truce Will Be Extended
The steelmaking material rose more than 2% to near $103 an ton, after tumbling more than 4% over the previous two sessions.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
25 minutes ago
- Yahoo
Switzerland could revise offer on Trump tariffs, business minister says
By John Revill ZURICH (Reuters) -The Swiss government is open to revising its offer to the United States in response to planned heavy tariffs, Business Minister Guy Parmelin said, as experts warned the 39% import duties announced by President Donald Trump could trigger a recession in Switzerland. Switzerland was left stunned on Friday after Trump hit the country with one of the highest tariffs in his global trade reset, with industry associations warning of tens of thousands of jobs being put at risk. The country's cabinet will hold a special meeting on Monday to discuss its next steps, with Parmelin telling broadcaster RTS that the government would move quickly before the U.S. tariffs are imposed on August 7. "We need to fully understand what happened, why the U.S. president made this decision. Once we have that on the table, we can decide how to proceed," Parmelin said. "The timeline is tight, it may be hard to achieve something by the 7th, but we'll do everything we can to show goodwill and revise our offer," he added. Parmelin said Trump was focused on the U.S. trade deficit with Switzerland, which stood at 38.5 billion Swiss francs ($48 billion) last year, with Switzerland buying U.S liquefied natural gas (LNG) among the options under consideration. Another option could be further investments by Swiss companies in the United States, Switzerland's biggest export market for its pharmaceuticals, watches and machinery. "Look at the European Union, they promised to buy LNG. Switzerland imports LNG too — maybe that's one path," Parmelin said. "Maybe more investments. But to be sure it's a strong enough basis for continuing talks, we have to fully understand what the U.S. expects." Both Parmelin and Swiss President Karin Keller-Sutter were also ready to travel to Washington to pursue talks if necessary, he added. Swiss officials rejected reports that the higher than expected tariffs were imposed after a bad-tempered telephone call between Keller-Sutter and Trump late on Thursday. "The call was not a success, there was not a good outcome for Switzerland," a government source told Reuters. "But there was not a quarrel. Trump made it clear from the very beginning that he had a completely different point of view, that 10% tariffs were not enough. "We are working hard to find a solution and are in contact with the American side," the source added. "We hope we can find a solution before August 7." Tariffs would have a huge impact on Switzerland's export-orientated economy and raised the risk of a recession, said Hans Gersbach, an economist at ETH, a university in Zurich. Swiss economic output would be reduced by 0.3% to 0.6% if the 39% tariff was imposed, a figure which could rise to above 0.7% if pharmaceuticals - which are currently not covered by the U.S. import duties - were included. Prolonged disruptions could shrink Swiss GDP by more 1%, Gersbach said. "There would be a risk of a recession," Gersbach said. Swiss shares are expected to be hit by the tariffs news when the stock market reopens on Monday after being closed during the Swiss National Day holiday on Friday. The tariffs could also see the Swiss National Bank cut interest rates in September, said Nomura. "We expect one more 25bp policy rate cut from the SNB in September, which would take the rate to -0.25%," the bank said. "A hit to growth from U.S. tariffs on exports would likely weaken economic growth and cause further deflation pressures, adding to the likelihood of easing to a negative policy rate." Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
25 minutes ago
- Yahoo
Trump's former jobs data chief decries firing of successor
(Bloomberg) — President Donald Trump's firing of the chief labor statistician was criticized by her predecessor, who called it an unfounded move that will undermine confidence in a key data set on the US economy. We Should All Be Biking Along the Beach Seeking Relief From Heat and Smog, Cities Follow the Wind Chicago Curbs Hiring, Travel to Tackle $1 Billion Budget Hole NYC Mayor Adams Gives Bally's Bronx Casino Plan a Second Chance 'This is damaging,' William Beach, whom Trump picked in his first term to head the Bureau of Labor Statistics, said on CNN's State of the Union on Sunday. Trump on Friday fired Erika McEntarfer hours after labor market data showed weak jobs growth based in part on steep downward revisions for May and June. The move by Trump, who claimed the latest monthly report was 'phony,' prompted an outcry from economists and lawmakers. 'I don't know that there's any grounds at all for this firing,' said Beach, whom McEntarfer replaced in January 2024. 'And it really hurts the statistical system. It undermines credibility in BLS.' Studies indicate that the agency's data is more accurate than 20 or 30 years ago, including any revisions of the initial data, Beach said. Even so, he said he'll trust future BLS data because people working for the agency are 'some of the most loyal Americans you can imagine,' making the bureau 'the finest statistical agency in the entire world.' Bank of America CEO Brian Moynihan, speaking Sunday on CBS's Face the Nation, urged the US government to improve its data collection to avoid revisions that engender distrust. 'We watch what consumers really do. We watch what businesses really do,' Moynihan said, while not addressing the politics of the firing. 'They can get this data, I think, other ways, and I think that's where the focus would be.' He noted the revision for May and June data, while not unusual, was one of the largest in seven years. 'That creates doubt around it,' he said. 'Let's spend some money. Let's bring the information together. Let's find where else in the government money is reported.' McEntarfer was confirmed by the Senate in a bipartisan 86-8 vote. Vice President JD Vance, then a senator, voted to approve her nomination. Kevin Hassett, Trump's chief economic adviser at the White House, alleged that the large jobs data revisions were poorly explained and were evidence enough for a 'fresh set of eyes' at BLS. He sought to contradict Beach's portrayal of the agency as politically neutral. 'The bottom line is that there were people involved in creating these numbers,' Hassett said on NBC's Meet the Press. Pressed on whether Trump would fire anyone offering data he disagreed with, Hassett, who heads the National Economic Council, disagreed. 'No, absolutely not,' he said. 'The president wants his own people there so that when we see the numbers, they're more transparent and more reliable.' How Podcast-Obsessed Tech Investors Made a New Media Industry Everyone Loves to Hate Wind Power. Scotland Found a Way to Make It Pay Off Russia Builds a New Web Around Kremlin's Handpicked Super App Cage-Free Eggs Are Booming in the US, Despite Cost and Trump's Efforts What's Really Behind Those Rosy GDP Numbers? ©2025 Bloomberg L.P. Sign in to access your portfolio
Yahoo
31 minutes ago
- Yahoo
Is China waking up to Israel's strategic importance? Beijing rethinks Middle East strategy
An expert analyzes how China is responding to a new set of global challenges. China's growing engagement in the Middle East—heightened by the recent escalation of conflict in Gaza—has drawn significant global attention and speculation. Traditionally, Beijing's regional strategy has focused on securing long-term economic and energy interests: ensuring access to vital energy resources, safeguarding major international trade corridors, and investing extensively in infrastructure, technology, and energy sectors, particularly in the Persian Gulf. Yet, despite these strategic imperatives, China continues to pursue a deliberately ambivalent and multidimensional approach toward key regional actors, most notably Iran and Israel. This carefully calibrated posture reflects broader geopolitical shifts, the erosion of US hegemony, and, above all, the mounting instability across the Middle East—developments that increasingly threaten both regional equilibrium and China's own economic security. Energy and strategic interests Energy security is a central pillar of China's strategic outlook. As the world's largest oil importer, China currently sources around 40% of its oil from the Middle East–a figure expected to double by 2035. This heavy reliance exposes Beijing to acute vulnerabilities should conflict or instability disrupt critical maritime chokepoints such as the Red Sea and the Strait of Hormuz. These strategic routes also account for roughly 60% of China's trade with Europe and Africa, further amplifying the stakes of regional volatility. Beyond energy, China's broader economic footprint in the region—particularly through the global Belt and Road Initiative (BRI)—faces mounting risks. Saudi Arabia, China's largest trading partner in the region, exemplifies this accelerating interdependence: their bilateral trade reached $107.53 billion in 2024, underscoring the rapid deepening of their economic ties. Navigating regional rivalries Alongside its pursuit of undermining the American regional influence and asserting itself as a stabilizing global power, Beijing–long known for its cautious and natural approach–has recently adopted a more pragmatic, proactive stance in the diplomatic arena. This shift reflects a delicate balancing act and the adaptation of a flexible, well-calibrated strategy, aimed at maximizing the value derived from diverse strategic partnerships while carefully avoiding alienating any particular state or favouring one over another. China's sophisticated manoeuvring between rival actors and competing regional interests—exemplified by its concurrent cooperation with Saudi Arabia, whose Crown Prince's global ambitious vision, "Vision 2030," is being advanced in tandem with China's Belt and Road Initiative (BRI). This occurs despite its deepening ties with Iran and opposition to its nuclear program and while simultaneously leading diplomatic efforts and negotiations with both the United States and Arab leaders, aimed at promoting a ceasefire and preventing further security escalation in the Middle East. Furthermore, China draws a clear distinction between declarative rhetoric and operational conduct, as well as between political confrontations and broader systemic interests. These distinctions enable it to uphold the principle of non-intervention—avoiding direct political or military involvement—while simultaneously continuing to lead a critical discourse that includes sharp condemnation of Israel and its military policies, alongside consistent support, on the other hand, for the Palestinian and Iranian positions. The Israel-Iran conflict: A critical turning point However, a closer look reveals that the recent direct confrontation between Iran and Israel, which erupted in June, along with US military strikes on Iranian nuclear sites, has triggered a significant shift in China's perception of both actors. This shift is already challenging its previously neutral stance, testing its relationships with regional states and its ability to navigate among them. Moreover, this development increases China's dependence on oil powers, intensifying its need to diversify energy sources and alternative trade and supply routes, including diversified engagements with Central Asian states. Alongside its commitment to invest approximately $400 billion in the development of critical infrastructure across Iran, including the establishment of logistical corridors and the strengthening of security and economic cooperation as part of the BRI project, Beijing is simultaneously cultivating economic and strategic partnerships with Israel, primarily in the fields of high-tech, innovation, and science. Recent reports indicate that bilateral trade volume between China and Israel reached $16.27 billion in 2024, compared to $14.56 billion in 2023. Furthermore, in May of this year, Chinese exports to Israel totalled $1.45 billion, while imports from Israel reached $1.7 billion–figures that reflect Israel's rising significance in Beijing's calculations. Moreover, alongside efforts to restore Iran's military capabilities and renew its missile systems damaged during Israeli and American strikes, China—having for the first time adopted a relatively moderate and conciliatory stance toward Israel—simultaneously directed sharp criticism at the Iranian leadership, accusing it of ideological dogmatism and adherence to an extreme political position. From Beijing's perspective, the conflict with Israel has demonstrated that Iran—significantly weakened—is no longer keeping pace with global developments, and that the so-called 'Axis of Resistance,' including the network of proxies it has cultivated across the Middle East over the years, is gradually fracturing. Senior Chinese scholars have even suggested that the Ayatollah regime, now perceived as teetering on the brink of collapse, no longer serves the strategic interests of China's leadership in the region. Strategic adjustments Recently, voices in Israel are increasingly calling for a reassessment of relations with China, despite constraints imposed by the United States. This presents an opportunity to adopt a new, pragmatic foreign policy approach—one that advances Israel's interests in China, across Asia, and more broadly among countries of the 'Global South.' At the same time, it could help integrate China into initiatives aimed at promoting stability in the Middle East, including the future rehabilitation of the Gaza Strip. All of this is especially relevant today, amid mounting global criticism of Israel, the renewal of nuclear talks with Iran, and the unpredictable foreign policy of the President of the United States. From a broad geopolitical and strategic perspective, it is already becoming apparent that even a partial or limited shift in China's stance toward Israel constitutes an important diplomatic signal—one that could eventually lead to a significant strategic turning point. Beyond the inherent advantages of strengthening bilateral ties and expanding Beijing's role as a mediator between regional adversaries, deeper Chinese involvement could help restrain Iran or, at the very least, counterbalance its negative influence while reducing the risk of regional security escalation. In addition, recognition from China could enhance Israel's prestige and global image—not only as a member of the American-Western bloc and a close ally of the United States, but also as a powerful and legitimate actor on the international stage. Strengthening ties between the two countries could lead to diversification and expansion of investments and partnerships in fields such as technology, innovation (AI), agriculture, and healthcare. This would boost Israeli exports to China's vast market and help position Israel as a regional power. Furthermore, closer relations and a more balanced approach to the Israeli-Palestinian conflict could influence other countries in the Global South and improve Israel's standing in their eyes. China's real politics Looking from a broad Chinese vantage point, it is evident that China's diplomatic pivot is a sophisticated and calculated move—another layer in its global geopolitical strategy. Beyond expanding its political and economic influence in the Middle East, strengthening ties with Israel is expected to help China position itself as a responsible, moderate, and balanced global power—one capable of acting as a potential mediator in other regional and international conflicts (such as the dispute between Hamas and the Palestinian Authority, the fight against the Houthis, and the war between Russia and Ukraine). Through this initiative, China seeks to establish its own network of bilateral and multilateral relationships that will grant it geopolitical flexibility, reduce its dependence on any single country, and enhance its status and image on the international stage. Although this shift may provoke opposition from Iran and other Muslim countries—as well as Western criticism regarding the disruption of the regional balance of power—the success of the move largely depends on how China chooses to frame its new policy. If Beijing emphasizes its pragmatic stance and clarifies that it does not aim to create a new regional security order or to replace the United States in the region, it could profoundly reshape the Middle East landscape, contribute to the regional and global geopolitical balance. Solve the daily Crossword
