FTSE 100 Live 03 February: Dollar surges on Trump tariffs, index set for big fall
FTSE 100 Live 03 February: Dollar surges on Trump tariffs, index set for big fall
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Deutsche Bank described the weekend tariff announcements as being at “the most hawkish end of the protectionist spectrum we could have envisaged.”. It said the speed of implementation, the scope and the breadth of the tariffs covering 44% of total US imports were all aggressive. George Saravelos, the bank’s global head of FX research, added: “If these tariffs go ahead, we see them as constituting the largest shock in global trade policy since the collapse of Breton Woods.
“We see immediate recessionary consequences for some of the economies involved and broad-based negative read-across to the world economy.”. Global stock markets are set for big falls after US president Donald Trump imposed 25% tariffs on Mexico and Canada. According to IG Index futures, the FTSE 100 index is seen 1.4% or 125 points lower. The S&P 500 index is seen about 1.7% lower when US markets open later.
