Trump’s New Tariffs Shake Markets: U.S. Dollar Up, Canadian Dollar Down (Reuters)
Big moves in global markets today! The U.S. dollar jumped after former President Donald Trump announced new tariffs—including a shocking 35% tax on Canadian goods starting August 1, reports Reuters. The Canadian dollar (loonie) took a hit, dropping over 0.5% as traders reacted to the surprise move.
Why does this matter?
- Trump’s tariffs could make Canadian products—like cars, lumber, and food—more expensive for Americans.
- The euro and Australian dollar also fell as trade tensions spooked investors (Reuters).
- Brazil and the EU could be next—Trump hinted at more tariffs coming soon.
Market experts, cited by Reuters, say this could be just the beginning. “Canada wasn’t expecting this—it could spark a trade war,” said one analyst.
Meanwhile, the U.S. dollar keeps rising as investors seek safety. Bitcoin and Ethereum also surged, hitting new highs as traders looked for alternatives.
What’s next?
- Will Canada and other countries strike back?
- Will prices go up for everyday goods?
- Could this hurt the global economy?
Stay tuned—we’ll bring you the latest updates, straight from Reuters and market experts.