Latest news with #globalEconomy
Washington Post
a day ago
- Business
- Washington Post
As Trump touts tariff deal, China pitches itself as global trade leader
TIANJIN, China — On the same day China and the United States were finalizing a framework to guide negotiations in their bitter tariff dispute, Chinese Premier Li Qiang was making his pitch for Beijing as the solution to global trade volatility unleashed by Washington. At the opening of an annual confab of foreign officials, business executives and scholars organized by the World Economic Forum here this week, Li likened the 'confusion and anxiety' in the global economy to the 2008 global financial crisis and vowed that China was here to help.
BreakingNews.ie
a day ago
- Business
- BreakingNews.ie
Euro rises to highest since 2021 against dollar
The euro is hovering near its highest level in almost four years against the dollar, as traders await trade deals ahead of a July deadline for US president Donald Trump's tariffs. With the geopolitical tremors of the Israel-Iran conflict in the rear view after a ceasefire that appeared to be holding, market focus this week has been on US monetary policy. Advertisement The prospect of Trump announcing the next Federal Reserve chair earlier than usual to undermine the current chair Jerome Powell has raised the odds of the central bank cutting rates. "The sooner a replacement is announced for Powell, the sooner he could be perceived to be a 'lame duck'," said Carol Kong, a currency strategist at Commonwealth Bank of Australia. Trump has not decided on a replacement for Powell and a decision is not imminent, a person familiar with the White House's deliberations told Reuters on Thursday. Trump has repeatedly attacked Powell and called for rate cuts this year, stoking investor worries about the slow erosion of US central bank's independence and credibility. Advertisement The euro eased to $1.16885 after hitting $1.1745 in the previous session, its highest since September 2021. The dollar index, which measures the US unit versus six other currencies, was lingering near its lowest since March 2022 at 97.398, on course for a 2 per cent decline in June, its sixth straight month in the red. The index has dropped more than 10 per cent this year as Trump's tariffs stoke US growth worries, leading investors to look for alternatives. Investor are also looking for signs of progress on new trade deals ahead of the July 9th deadline for Trump's "reciprocal" tariffs as nations scramble to get an agreement over the line. Advertisement World US and China sign trade agreement, Donald Trump sa... Read More German chancellor Friedrich Merz said on Thursday the EU should do a "quick and simple" trade deal with the United States rather than a "slow and complicated" one. A White House official said the US has reached an agreement with China on how to expedite rare earths shipments to the United States. The US dollar's weakness pushed the Australian dollar , often considered a risk proxy, to a seven-month high of $0.6564 on Thursday. Emerging market currencies also got a lift from the beaten-down US dollar, with the Taiwan dollar surging to its strongest level since April 2022. "Everyone is selling US dollars – foreign investors are selling, and exporters are selling too," a Taiwan-based trader told Reuters. "Even now, we have big clients who sold their US dollar positions early this morning."
The Guardian
a day ago
- Business
- The Guardian
US ‘close to 10 trade deals' after China rare earth agreement reached
Update: Date: 2025-06-27T06:38:15.000Z Title: Introduction: US 'close to 10 trade deals' after China agreement 'signed' Content: Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy. Hopes are building that the US may be close to announcing more trade deals, and avoid imposing punishing new tariffs that would disrupt the global economy. Overnight, Donald Trump announced that the two sides had signed a deal, without providing details, declaring: 'We just signed with China yesterday.' It later emerged that the agreement will expedite rare earth shipments to the US, building on the progress negotiators made in Switzerland last month. A White House official explained: 'The administration and China agreed to an additional understanding for a framework to implement the Geneva agreement……how we can implement expediting rare earths shipments to the US again.' The US, and its trading partners, have less than two weeks until Trump's 90-day trade war pause expires. US Commerce Secretary Howard Lutnick has claimed that progress is being made, and hinted that the White House has imminent plans to reach agreements with 10 major trading partners. Lutnick told Bloomberg Television: 'We're going to do top 10 deals, put them in the right category, and then these other countries will fit behind.' Trump has previously indicated he could send letters to countries announcing their new tariff rates, if deals aren't agreed in time. Lutnick has indicated that countries will be sorted into 'proper buckets' on 9 July, although there might be flexibility for further negotiations…. He says: 'Those who have deals will have deals, and everybody else that is negotiating with us, they'll get a response from us and then they'll go into that package. If people want to come back and negotiate further, they're entitled to, but that tariff rate will be set and off we'll go.' 10am BST: EU consumer and business confidence stats 1.30pm BST: US PCE inflation report for May 3pm BST: University of Michigan's US consumer confidence index
Yahoo
3 days ago
- Business
- Yahoo
Why FedEx Stock Is Diving After It Broke This Decade-Long Trend
FedEx reported better-than-expected fiscal fourth-quarter late Tuesday but struck a cautious note on the earnings call amid economic uncertainty.
Yahoo
3 days ago
- Business
- Yahoo
German industry sees 'longer' path out of recession as tensions climb
German industry faces a "longer and more difficult path out of recession" as a result of shocks to the global economy, a trade association leader said on Monday. Peter Leibinger, president of the Federation of German Industries (BDI), highlighted "flashpoints" such as the tariff conflict with the United States and the escalation in the Middle East. Speaking at an event to mark the "Day of Industry" in Berlin, Leibinger said he was worried about Iran blocking the Strait of Hormuz, a crucial shipping lane for oil transport. A temporary blockade in response to the Israeli and US attacks on Iran could have massive implications for oil prices, he argued. Leibinger also warned of tighter export restrictions in China on rare earth minerals, which are needed for many high-tech sectors. The BDI now expects the German economy to fall 0.3% this year, down from its January forecast of a 0.1% drop. Managing director Tanja Gönner said the association's forecast - which is markedly lower than those of other institutes - takes into account growing uncertainty, for example in US customs policy. The BDI assumes that planned US tariffs will come into effect, expecting a 20% duty on some EU goods from July 10. The German government has recently expressed confidence that an agreement between the European Commission and the United States would soon be signed. Looking ahead to 2026, Leibinger said there is "a real chance of an upturn ... If the German government continues to pursue the announced path, then there is a real chance of an upturn next year." Chancellor Friedrich Merz's conservative-led coalition wants to stimulate the economy with tax relief and reductions in energy prices, after Germany experienced two consecutive years of recession. Leibinger spoke of a "confidence problem" in the country, which he argued is slowing down investment. 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
