Markets higher as we bounced from the aggressive levels that we marked Monday’s open. Overnight Japan nearly +6% (valuations had approached covid lows) and China higher led by support from a swath of corporate buybacks announced + what would appear to be national team support.
President Trump said that he would add an extra 25% tariff on Canadian steel and aluminum - raising those tariffs to 50% - if Canada does not remove the 25% tariff it placed on electricity from three US states. Ontario's Premier Ford said that he agreed to suspend the 25% electricity surcharge.
Wall Street plunged and Treasury yields fell on recession fears, triggered by relentless tariff wrangling and uncertainties surrounding U.S. trade policies. Economic growth and demand concerns weighed on oil prices too. The dollar weakened against the Japanese yen. Gold dropped on profit booking.
