Trump Agrees to Give EU More Time, Boosting Stocks and the Euro, EUR/USD Reaches 1 Month High; GBP/USD Rises to New 4-Year High; Bitcoin Gaining Again Near $110,000
Summary: President Trump’s decision to postpone his new 50% tariff on the EU has boosted US and Eurozone stock markets, while also putting a bid into the Euro.
- The main event in the market today is President Trump’s announcement of a delay in the new 50% tariff on imports from the European Union, which will now not take effect until 9th July, the same deadline as all the other global tariffs, many of which are subject to ongoing negotiations. The tariff was due to take effect much sooner. The EUR/USD currency pair reacted by trading at a new 1-month high price above $1.1400, while the US Dollar Index is trading lower and is currently not far from the multi-year low near the support level at 97.67. Major stock indices in the USA and Europe are higher, notably the German DAX which is not far from its all-time high.
- Bitcoin remains in focus after reaching a new record high last week at $112,00. Trend and momentum traders will be interested in being long here. As well as spot Bitcoin, there are also Bitcoin micro futures available, and several Bitcoin ETFs so trading or investing in Bitcoin is very accessible today. The price has regained some ground today and at the time of writing was trading close to $110,000.
- In the Forex market the strongest major currency since the Tokyo open has been the New Zealand Dollar, while the Japanese Yen has been the weakest. However, the clearest trend is against the US Dollar and the strongest major currency over a meaningful period of time looks to be the British Pound, so the GBP/USD currency pair will be getting some attention today after it reached a new 4-year high price. However, both its markets are offline today, so volume could be very thin.
- It is a public holiday today in the UK and in the USA.
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