GBP/USD falls to near 1.2400 due to risk-off sentiment following Trump tariff threats
GBP/USD continues its losing streak for the fourth successive session, trading around 1.2420 during the Asian hours on Friday. This downside is attributed to the improved US Dollar (USD) amid increased risk aversion following renewed tariff threats from US President Donald Trump.
President Trump reiterated plans late Thursday to impose a flat 25% import tax on all goods entering the US from Canada and Mexico, citing concerns over fentanyl. The first wave of tariffs on both countries is set to take effect on February 1, according to Reuters. Additionally, Trump hinted at the possibility of imposing tariffs on Canadian and Mexican Oil exports. He also reaffirmed his threat on X (formerly Twitter) to levy 100% tariffs on BRICS nations if they attempt to introduce an alternative currency to challenge the US dollar in international trade. Read more…
GBP/USD sheds weight amid thin Thursday ahead of key US data
GBP/USD soured slightly on Thursday, shedding a scant one-fifth of one percent as markets grapple with mixed headwinds and keep risk appetite underbid. US President Donald Trump reiterated threats to impose stiff tariffs on Canada and Mexico as soon as February 1, with fresh threats in the pipe for import fees on Chinese goods and Crude Oil products.
US economic data came in mixed on Thursday, further flummoxing markets. US Gross Domestic Product (GDP) growth in the fourth quarter of 2024 came in below expectations, but weekly Initial Jobless Claims figures beat expectations while remaining well within recent norms. Read more…
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