Written by Iqbal Ahmad and Shaybuick Oguh
New York (Reuters) -The US dollar rose against major currencies including yen and euros, as President Donald Trump has restored trade tensions with a new tariff for Canada and other commercial partners.
Trump released a late speech on Thursday, saying that the 35 % tariff rate on all imports from Canada will be applied as of August 1. The European Union has been appointed to receive a message by Friday.
The US President, who raised the global wave from commercial tariffs and policy -making, floats at a 15 % or 20 % tariff rate on other countries, a step from the current foundation rate by 10 %.
This week, Brazil, which has a trade surplus with the United States, surprised the duties of 50 %, beating copper, medicines, semiconductor chips.
“It seems that there are some identification tensions that crawl again after Trump turns on the battle tariff yesterday,” said Michael Brown, a market analyst at the Pepston online mediator in London.
“In general, the movements that we have seen in the FX space are relatively contained, and modern domains seem to be respected at the present time,” he added.
The US dollar rose 0.79 % to 147.4 against the Japanese yen, on the right track to add approximately 2 % for the week – the largest weekly gain since early December. It was flat against the Swiss franc at 0.79695 francs.
The euro was 0.1 % less at $ 1.1688, after Trump said that the European Union could receive a letter about the customs tariff prices by Friday, with a question about the progress of Brussels talks with Washington. Against the yen, the dollar rose 0.6 % to 147.05 yen.
The weakest Canadian dollar against its American counterpart and decreased by 0.11 % at 1.3672 Canadian dollars, after a decrease in the knee by more than 0.5 % after Trump revealed the rate of customs tariffs. The real Brazilian was 0.26 % less against the dollar.
The market’s reaction to a large number of new customs tariffs was largely silent compared to the frosty sale that followed the announcement of “Liberation Day” in April, but investors are still ready about the future of global trade and whether the deadline on August 1 was final.
While the return of the tariff fears was helping to support Pak, some merchants remained skeptical of medium -term expectations of the American currency that were subjected to severe sale this year.
“My issue remains in a slow but fixed decline for the US dollar in the medium term, but it is clear that we have already come a long way, in a short period of time, so there is room for a little bastard, especially if some of the most modern dollar shorts begin to under pressure,” said Brown Brown of Pepston.
https://media.zenfs.com/en/reuters-finance.com/4f431d620c795c05dfd4e28fe25f4a3c
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