Trump Tariff Tensions Lift Dollar and Gold Despite Market Slide

Investors faced renewed uncertainty as former President TRUMP announced a 35% tariff on Canadian imports effective August 1, with similar measures expected for the EU. The move disrupted global markets, with Reuters reporting widespread business impacts. Trump's broader trade strategy includes potential hikes in U.S. duties from 10% to 15–20%, alongside surprise 50% tariffs on Brazilian goods like copper and semiconductors.

European and U.S. markets retreated after initial gains, with the STOXX 600 dropping 0.7% and S&P 500 futures sliding 0.6%. "The market is becoming numb to these announcements," noted City Index's Fiona Cincotta, suggesting reactions may wait for concrete data. Negotiation windows remain open after Trump delayed some tariffs to August 1, expanding measures to include Japan and South Korea.

The dollar and gold rose as havens amid the turbulence, while Commonwealth Bank of Australia's Joseph Capurso highlighted the aggressive 35% Canadian tariff rate. No direct cryptocurrency impacts were noted, though traditional market volatility often spills into digital asset trading.