President Trump threatened to impose high tariffs on car imports from the European Union if they do not come to an agreement on a new trade deal. The new deal could amount to 25% more on cars from the European Union.
Today, stocks stalled out near record highs which remain on track to be their best year in a decade. Optimism about the global economy is still at the fore as the U.S. and China continue to improve on trade relations.
U.S. farmers patience continues to grow thin as President Trump’s policies focus more on his trade wars with China and biofuel waivers for oil refineries.
President Trump recently threatened to tax, nearly $300 billion dollars of Chinese products, by 10%. The already volatile oil market, seems to have room for some extra volatility. The volatility would largely cycle around China’s response to the U.S. tariffs. If China responds by purchasing oil from Iran, analysts speculate crude could rapidly approach $30 per barrel. Trump could impose the sanctions on the Chinese imports as soon as September 1st. Trump also threatened that he could raise the tariff, if no progress has been made towards a trade deal.