Friday 2nd August 2019

A tweet from President Trump promising a 10% tariff on the remainder of imports from China has sent the markets into a tailspin. Phil Dobbie talks to NAB’s David de Garis about the reaction, which has been seen a move to the Yen, a fall in US equities, a huge drop in oil prices and a 16 basis point intraday drop in 10 year Treasury yields. Before the tweet, shares had recovered from the fall post FOMC. In light of the President’s words, tonight’s non-farm payrolls are likely to take on a little less influence than usual. Meanwhile, the Bank of England has downgraded growth forecasts for the UK, and that’s without a no-deal Brexit. The week is finishing with a bump.