Market Rundown: Trump's Tariffs on EU & Mexico, Bitcoin Surges, China's Trade Surplus

Trump's New Tariff Threats

• ⚠️ President Trump has escalated trade tensions by threatening a 30% tariff on goods from the EU and Mexico, set to begin August 1st.
• 🇪🇺 The EU plans to delay counter-measures for three weeks, hoping for a deal, while Germany's Chancellor warned of severe impacts on its industry.
• 🇺🇦 Separately, President Trump is expected to announce a plan to send offensive weapons to Ukraine, a shift from previously committed defensive arms.

Bitcoin and Crypto Market Rally

• 🚀 Bitcoin has surpassed $120,000 for the first time, driven by anticipation for upcoming US legislative debates and votes on key crypto legislation.
• 📈 This surge in Bitcoin, up 29% year-to-date, has also fueled a broader rally in smaller cryptocurrency tokens.

Global Economic Indicators

• 🇨🇳 China reported a record trade surplus of $586 billion in the first half of the year, with exports to the US stabilizing.
• 🇯🇵 The Bank of Japan is considering revising its inflation forecasts upward, though interest rates are expected to remain unchanged at 0.5%.
• 📊 Japanese bond prices fell due to concerns over fiscal spending and caution surrounding the upcoming upper house election.