Global Markets Fluctuate Amid New Tariff Threats

The new threats of U.S. tariffs caused unease in global financial markets, as Asian stocks fell after Wall Street futures showed losses. President Donald Trump announced a 30% tariff on most EU and Mexican imports starting August 1, while the EU extended its suspension of countermeasures and called for continued talks.

Stock responses were muted, with investors seemingly accustomed to Trump's unpredictable policies. Markets showed slight downward trends while the dollar saw small gains. "It's challenging to gauge the market's muted response," noted NAB's Taylor Nugent, as negotiations continue.

U.S. economic data and corporate earnings reports will shape the upcoming week, with trade tensions casting a shadow. Treasuries remained stable, while anticipation grows around Fed Chair Jerome Powell's next moves amid political pressure for bolder monetary policy.

(With inputs from agencies.)