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Most stock markets fell on Thursday as ongoing concerns about the global impact of President Donald Trump’s trade war overshadowed positive US inflation data.With governments around the world trying to figure out how to respond to Trump’s tariffs agenda and threats of further measures, equities have been plunged into turmoil amid uncertainty about what is to come.While attention has been mostly on the trade saga in recent weeks, Wednesday provided a little relief as data showed US consumer inflation slowed slightly more than expected in February — the first full month of Trump’s second term.The report also revealed core inflation, which excludes volatile food and energy prices, had come in below consensus.But the overriding issue for investors is Trump’s trade policy, which this week saw him impose tariffs on all imports of steel and aluminium, hitting numerous nations from Brazil to South Korea, as well as the European Union.Canada responded with more than US$21 billion in additional tariffs on US goods, while Brussels said it would target $28 billion in US goods from April.There has been a growing concern among investors that Trump’s tariffs and pledges to slash taxes, regulations and immigration would reignite inflation, force the Federal Reserve to hike interest rates again and cause a recession.Analysts pointed out that the latest inflation figures, while welcome, had to be taken in context.National Australia Bank’s Tapas Strickland said it was “worth noting the data was for February and thus largely pre-dates any potential tariff impacts”.And Stephen Innes at SPI Asset Management warned that while markets reacted positively to the data, there was still a lot of uncertainty in markets.”Let’s be clear, this isn’t a free pass to rally unchallenged. The real question now is how far Trump is willing to push on tariffs and government cuts,” he wrote in a commentary. “With April 2’s reciprocal tariff D-Day looming, traders would be foolish to dismiss his resolve to rewrite global trade,” he added, referring to another round of levies due to come into effect.”If the past few weeks have proven anything, his tolerance for the ‘pain trade’ (US stocks lower) is far higher than the market assumed.”After a mixed start to the day, most Asian markets headed south in the afternoon.Tokyo, Hong Kong, Shanghai, Sydney, Singapore, Wellington, Taipei, Mumbai and Jakarta were all in negative territory.And in Europe, London, Paris and Frankfurt opened lower.Mark Hackett at Nationwide said that “for the last three weeks, traders have felt like buying this market is like trying to catch a falling knife”.Focus is also turning to developments in the Ukraine crisis after Kyiv endorsed a US proposal for a 30-day ceasefire, with Washington saying it wants Russia to agree to an unconditional halt to hostilities.The Kremlin said it was awaiting details of the US proposal, and gave no indication of its readiness to stop fighting, but Trump warned “devastating” sanctions were possible if Russian President Vladimir Putin refused an agreement.- Key figures around 0800 GMT -Tokyo – Nikkei 225: DOWN 0.1 percent at 36,790.03 (close)Hong Kong – Hang Seng Index: DOWN 0.6 percent at 23,462.65 (close)Shanghai – Composite: DOWN 0.4 percent at 3,358.73 (close)London – FTSE 100: DOWN 0.2 percent at 8,527.14Euro/dollar: DOWN at $1.0867 from $1.0890 on WednesdayPound/dollar: DOWN at $1.2954 from $1.2969Dollar/yen: DOWN at 147.80 yen from 148.32 yenEuro/pound: DOWN at 83.89 pence from 83.97 penceWest Texas Intermediate: UP 0.1 percent at $67.74 per barrelBrent North Sea Crude: UP 0.1 percent at $71.05 per barrelNew York – Dow: DOWN 0.2 percent at 41,350.93 points (close)

The directors of Canadian convenience store giant Alimentation Couche-Tard (ACT) said on Thursday they were seeking a “friendly” buyout of 7-Eleven but lamented a lack of progress towards a deal.Seven & i, the Japanese parent company of 7-Eleven — the world’s biggest convenience store brand — rebuffed an ACT takeover offer worth nearly $40 billion last year.Despite a sweetened bid reportedly worth around $47 billion, Seven & i announced last week measures including a huge share buyback to boost its value and fend off ACT.”We are continuing to pursue a friendly, mutually agreed transaction,” ACT chairman Alain Bouchard told reporters in Tokyo.It would be the biggest foreign takeover of a Japanese firm, merging the 7-Eleven, Circle K and other franchises to create what CEO Alex Miller described on Thursday as a “global champion of convenience stores”.Seven & i said in September after ACT’s initial approach its rival had “grossly” undervalued its business and warned the deal could face regulatory hurdles in the United States.The pair have said they are exploring US store sell-offs to address antitrust concerns ahead of any potential merger but Bouchard said this wasn’t enough.”We are disappointed that this engagement has been limited to regulatory only and we have not been able to make progress on broader deal discussion,” he said.Seven & i operates some 85,000 convenience stores worldwide.Around a quarter of those outlets are in Japan, where they sell everything from concert tickets to pet food and fresh rice balls, although sales have been flagging.ACT runs nearly 17,000 convenience store outlets globally, including Circle K.Miller reiterated on Thursday that the retailer sees “a clear path to regulatory approval in the United States”.That was because the ACT and 7-Eleven networks in the world’s biggest economy were “highly complementary”, he said.Miller also addressed concerns that ACT ownership of Seven & i would affect the quality of 7-Eleven stores in Japan, which have been a local lifeline in times of disaster.”We are going to invest in Japan,” Miller said. “We have no interest and no plans to close stores, fire employees. That’s not what we do. We invest to grow.”

Asian investors struggled Thursday to build on much-needed gains on Wall Street as a below-forecast read on US inflation was offset by ongoing concerns about President Donald Trump’s trade war.With governments around the world trying to figure out how to respond to the US president’s tariffs agenda and threats of further measures, equity markets have been plunged into turmoil amid uncertainty about what is to come.While attention has been mostly on the trade saga in recent weeks, Wednesday provided a little relief as data showed US consumer inflation slowed slightly more than expected in February — the first full month of Trump’s second term.The report also revealed core inflation, which excludes volatile food and energy prices, had come in below consensus.The figures helped temper some worries about a recent uptick in prices.However, National Australia Bank’s Tapas Strickland said it was “worth noting the data was for February and thus largely pre-dates any potential tariff impacts”.There has been a growing concern among investors that Trump’s tariffs and pledges to slash taxes, regulations and immigration would reignite inflation, force the Federal Reserve to hike interest rates again and cause a recession.And Stephen Innes at SPI Asset Management warned that while markets reacted positively to the consumer price readings, there was still a lot of uncertainty in markets.”Let’s be clear, this isn’t a free pass to rally unchallenged. The real question now is how far Trump is willing to push on tariffs and government cuts,” he wrote in a commentary. “With April 2’s reciprocal tariff D-Day looming, traders would be foolish to dismiss his resolve to rewrite global trade,” he added, referring to another round of levies due to come into effect.”If the past few weeks have proven anything, his tolerance for the ‘pain trade’ (US stocks lower) is far higher than the market assumed.”In early Asian trade, markets moved in a tight range.Hong Kong, Sydney, Singapore, Wellington and Jakarta fell while Tokyo, Shanghai, Seoul, Taipei and Manila rose.Mark Hackett at Nationwide said “for the last three weeks, traders have felt like buying this market is like trying to catch a falling knife”.Focus is also turning to developments in the Ukraine crisis after Kyiv endorsed a US proposal for a 30-day ceasefire, with Washington saying it wants Russia to agree to an unconditional halt to hostilities.The Kremlin said it was awaiting details of the US proposal and gave no indication of its readiness to stop fighting but Trump warned “devastating” sanctions were possible if Russian President Vladimir Putin refused an agreement.- Key figures around 0230 GMT -Tokyo – Nikkei 225: UP 1.0 percent at 37,173.82 (break)Hong Kong – Hang Seng Index: DOWN 0.1 percent at 23,587.34Shanghai – Composite: UP 0.1 percent at 3,373.87Euro/dollar: UP at $1.0896 from $1.0890 on WednesdayPound/dollar: UP at $1.2972 from $1.2969Dollar/yen: DOWN at 148.17 yen from 148.32 yenEuro/pound: UP at 83.99 pence from 83.97 penceWest Texas Intermediate: DOWN 0.2 percent at $67.54 per barrelBrent North Sea Crude: DOWN 0.1 percent at $70.85 per barrelNew York – Dow: DOWN 0.2 percent at 41,350.93 points (close)London – FTSE 100: UP 0.5 percent at 8,540.97 (close)

Since ChatGPT burst onto the scene in late 2022, generative artificial intelligence (GenAI) models have been vying for the lead – with the US and China hotbeds for the technology.GenAI tools are able to create images, videos, or written works as well as answer questions or tend to online tasks based on simple prompts.These AI assistants stand out for their popularity and sophistication.- Hot ChatGPT -AI existed before ChatGPT, but it was first to make GenAI freely available for people to use as a dedicated application.San Francisco-based OpenAI has made ChatGPT more powerful and capable with each update, the most recent being GPT 4.5.One version of ChatGPT released late last year, called o1, was touted as a new-generation that takes time to ponder answers, providing comprehensive results and less inclined to err.Instead of instantly cranking out results, the model shares its “chain of thought”.OpenAI has imbued ChatGPT with the ability to act as a digital “agent” capable of browsing the internet, compiling information and using computers the way people do when working on tasks.- Google Gemini -Google has long put AI to work behind the scenes at its platform but cranked out Bard to take on ChatGPT in March of 2023.Bard was gradually replaced by a more advanced Gemini model built into Pixel phones and more.The Internet giant integrated Gemini into its famous search engine to display results summaries called “AI Overviews” along with links in response to queries.Google also put AI to work letting people search using pictures, video, or sound instead of just typed words.Such “multimodal” input capability has become common in GenAI tools.A Gemini 2.0 model capable of “step-by-step” reasoning made its debut in February of this year.- Cautious Claude -Founded by former OpenAI engineers, Anthropic launched Claude in March 2023.The San Francisco-based startup stresses responsible development of AI, moving more cautiously than competitors as it innovates.Anthropic unveiled Claude 3.7 Sonnet in February, its first model combining instant responses and thoughtful reasoning.Claude was previously enhanced with a “computer use” feature that let the AI independently perform computer tasks as a person might.- Mighty Meta -Meta has integrated custom AI into Facebook, Instagram, Threads, WhatsApp, Messenger and its Ray-Ban connected glasses with the aim of making it the most widely used digital assistant in the world.Meta’s chatbot is based on the tech firm’s open-source Llama model, considered one of the most powerful in the world.Recent press reports tell of plans by the Silicon Valley titan to release MetaAI as a stand-alone application in a direct challenge to OpenAI and Google.- Grok Snark -A co-founder of OpenAI, Elon Musk cut ties with the startup in 2018. Since ChatGPT took the lead in the GenAI race, Musk has sued OpenAI, offered to buy it, and launched a rival named xAI.Musk’s chatbot Grok has the advantage of being able to use the trove of posts at X, formerly Twitter, for training the AI model.The Tesla tycoon bought Twitter in late 2022.Musk made up for lost time by spending billions of dollars on high-end Nvidia chips for powering AI datacenters.He promotes Grok as a chatbot with personality, humor and fewer constraints on what it produces.- Upstart DeepSeek -DeepSeek was founded in 2023 by Chinese investment fund High-Flyer. In January 2025, the Hangzhou-based start-up turned the world of generative AI upside down with its R1 model.DeepSeek claims the AI tool was built using less sophisticated chips than its competitors, slashing the cost.The application was downloaded tens of millions of times in just a few weeks.- Mounting mix -Chinese tech behemoths Tencent (Yuanbao), Baidu (Ernie) and ByteDance (Doubao) are also vying for position in the AI market. In early March, Alibaba released its QwQ-32B model, which it claims matches the performance of DeepSeek-R1.France-based Mistral early last year released Le Chat, AI software particularly advanced in document and image analysis.

Major US trading partners announced countermeasures Wednesday after Donald Trump’s blanket tariffs on steel and aluminum imports took effect, prompting the president to vow a further response.The steep 25-percent levies contained no exemptions despite countries’ efforts to avert them, marking an expansion from Trump’s recent duties on Canada, Mexico and China since returning to the White House.The European Union swiftly unveiled counter tariffs hitting some $28 billion of US goods in stages from April, while Canada announced additional levies on $20.7 billion of American products from Thursday.China vowed “all necessary measures” in response, as Washington edged toward an all-out trade war with allies and competitors alike.European Commission chief Ursula von der Leyen maintained that the retaliation, affecting products ranging from bourbon to motorbikes, is “strong but proportionate.”Trump told reporters Wednesday that Washington would “of course” respond to the countermeasures.He claimed his country would “win that financial battle” with the EU.- ‘Significant costs’ -Canada, which is heavily exposed to the US steel and aluminum levies, said its own tariffs will hit steel products, aluminum, and goods ranging from computers to sports equipment.Incoming prime minister Mark Carney later added that he was ready to negotiate with Trump on a renewed trade accord.His country supplied about half of US aluminum imports and 20 percent of its steel imports, according to a recent note by EY chief economist Gregory Daco.Besides Canada, Brazil and Mexico are also key US suppliers of steel, while the United Arab Emirates and South Korea are among providers of aluminum.The Alliance for American Manufacturing said it supported the tariffs and their inclusion of steel derivatives: “This addition will ensure that importers can’t game the system.”But the American Automotive Policy Council (AAPC) representing the “Big Three” automakers — Ford, General Motors and Stellantis — said it was reviewing the levies.The group’s president Matt Blunt warned that tariffs, including their extension to auto parts with steel and aluminum, “will add significant costs for automakers, suppliers and consumers”- ‘Enough war’ -US Trade Representative Jamieson Greer criticized the EU’s promises of retaliation, calling the bloc’s economic policies “out of step with reality.””The EU’s punitive action completely disregards the national security imperatives of the United States –- and indeed international security,” Greer said.His remark came after EU Council chief Antonio Costa called on Washington to de-escalate the situation and enter dialogue.”I think we have enough war in the world, we need to stop the wars we have and not create a trade war,” Costa said.German Chancellor Olaf Scholz, head of Europe’s largest and heavily export-oriented economy, condemned Washington’s moves as “wrong” and warned of increased inflation.Beijing’s foreign ministry said “there are no winners in trade wars.” China is the world’s leading steel manufacturer, although not a major exporter of the product to the United States.Trump’s steel and aluminum tariffs will likely balloon costs of producing goods from home appliances to automobiles and cans used for drinks, threatening to raise consumer prices down the road, experts say.- ‘Massive uncertainty’ -Uncertainty over Trump’s trade plans and worries that they could trigger a recession have roiled financial markets. But US stocks regained some ground Wednesday even as some Asia markets retreated.The threat of protectionism, said Cato Institute research fellow Clark Packard, has allowed US steel and aluminum firms to raise prices: “It’s creating massive amounts of uncertainty.”Trump also targeted both metals in his first presidency.The president has promised further “reciprocal tariffs” from April 2 to tackle what he considers unfair behavior.The lack of exemptions Wednesday came despite efforts to push for exclusions.Tokyo expressed regret it had not succeeded while Canberra called the tariffs unjustified.Canberra and London stopped short of retaliation. The Mexican government said it would not immediately strike back and Brazil said it would not react.burs-bys/des

Stock markets mostly rose Wednesday on both sides of the Atlantic as investors shrugged off Washington’s latest tariffs to focus on cooling US inflation and a Ukraine ceasefire plan.Global markets have endured severe swings this month as US President Donald Trump looks to ramp up pressure on global partners by imposing or threatening hefty duties on their goods, citing trade imbalances and other concerns.Markets have worried that the tariffs could spark a surge in US inflation and drive a stake into the chances that the Federal Reserve cuts interest rates further.But government data released Wednesday showed US consumer inflation had slowed slightly to 2.8 percent in February — the first full month of Trump’s White House return.That was slightly better than analysts expected. Core inflation, which excludes volatile food and energy prices, dipped to an annual rate of 3.1 percent.”The inflation data are a bright spot in the Federal Reserve’s battle against rising prices. They reinforce the expectation of three rate cuts later in 2025,” said Jochen Stanzl, chief market analyst at CMC Markets.”Sentiment on Wall Street is so negative that these positive inflation figures could spark a broader recovery in stock prices,” he added.Wall Street’s main stock indices mostly closed higher with the tech-heavy Nasdaq Composite rising 1.2 percent.But the Dow dipped into the red, losing 0.2 percent.The “momentum has struggled to sustain itself,” said Daniela Sabin Hathorn, senior market analyst at Capital.com.In Europe, Frankfurt stocks jumped 1.6 percent, while Paris gained 0.6 percent and London added 0.5 percent.Analysts said support also came from Ukraine endorsing an American proposal for a 30-day ceasefire, with Russia yet to issue a response.Stanzl said further developments in US trade policy could shift sentiment “as many investors link tariffs with higher inflation, which could soon undo the hard-won declines achieved by the Federal Reserve.”In Trump’s latest move, sweeping 25 percent levies on all US aluminum and steel imports came into effect, hitting numerous nations from Brazil to South Korea, as well as the European Union.Trump had threatened to double those tariffs on Canada after Ontario imposed an electricity surcharge on three US states, but he called that off after the province halted the charge.The move nonetheless brought swift ripostes from Canada, which announced nearly $21 billion in additional tariffs on US goods, while the EU said it would target $28 billion in US imports starting April.China vowed to strike back, but Brazil, Britain and Mexico held off taking countermeasures.The on-off nature of Trump’s trade policies has fueled uncertainty in markets, and has sent the VIX “fear index” of volatility to its highest level since August.Analysts said high uncertainty in US stock markets made other regions more attractive as investors seek stability.”Investors are increasingly looking overseas as concerns mount over US stock valuations, monetary policy, and economic uncertainty,” said Charu Chanana, chief investment strategist at Saxo.Asian markets ended mostly lower on Wednesday.- Key figures around 2030 GMT -New York – Dow: DOWN 0.2 percent at 41,350.93 points (close)New York – S&P 500: UP 0.5 percent at 5,599.30 (close)New York – Nasdaq Composite: UP 1.2 percent at 17,648.45 (close)London – FTSE 100: UP 0.5 percent at 8,540.97 (close)Paris – CAC 40: UP 0.6 percent at 7,988.96 (close)Frankfurt – DAX: UP 1.6 percent at 22,676.41 (close)Tokyo – Nikkei 225: UP 0.1 percent at 36,819.09 (close)Hong Kong – Hang Seng Index: DOWN 0.8 percent at 23,600.31 (close)Shanghai – Composite: DOWN 0.2 percent at 3,371.92 (close)Euro/dollar: DOWN at $1.0890 from $1.0915 on TuesdayPound/dollar: UP at $1.2969 from $1.2954Dollar/yen: UP at 148.32 yen from 147.70 yenEuro/pound: DOWN at 83.97 pence from 84.26 penceBrent North Sea Crude: UP 2.0 percent at $70.95 per barrelWest Texas Intermediate: UP 2.2 percent at $67.68 per barrelburs/rl/bc/bys/des

China and the EU vowed Wednesday to strike back and defend their economic interests against sweeping new US steel and aluminium tariffs, moving Washington closer to an all-out trade war with two major partners.The levies took effect just after midnight on Wednesday “with no exceptions or exemptions”, as promised by the White House — despite countries’ efforts to avert them.The European Commission said it would impose “a series of countermeasures” from April 1 in response to the “unjustified trade restrictions” from the United States.”We deeply regret this measure,” European Commission chief Ursula von der Leyen said in a statement, adding that “the countermeasures we take today are strong but proportionate”.”As the US are applying tariffs worth $28 billion, we are responding with countermeasures worth” the equivalent in euros, she said.And China, the world’s leading steel manufacturer — though not a major exporter of the product to the United States — vowed “all necessary measures” in response.”There are no winners in trade wars,” foreign ministry spokeswoman Mao Ning said.Washington’s tariffs would “seriously damage the rules-based multilateral trading system”, she warned.US President Donald Trump’s 25 percent duties on both metals will likely add to the cost of producing various goods from home appliances to automobiles and cans used for drinks, threatening to raise consumer prices down the road, experts say.”It wouldn’t surprise me to see the tariffs pretty quickly show up in prices,” Cato Institute research fellow Clark Packard told AFP.He added that auto manufacturing and construction — spanning both residential and commercial buildings — are among the biggest users of steel in the country.- Trade turmoil -Trump has imposed steep tariffs on major US trading partners Canada, Mexico and China since returning to office, allowing only a partial rollback for his country’s neighbours while vowing fresh levies from April 2.The latest duties will again impact Canada heavily, with the country supplying about half of US aluminium imports and 20 percent of its steel imports, according to a recent note by EY chief economist Gregory Daco.Besides Canada, Brazil and Mexico are also key US suppliers of steel, while the United Arab Emirates and South Korea are among the major providers of aluminium.Wednesday’s levies stack atop earlier ones. This means some Canada and Mexico steel and aluminium products likely face a 50 percent tariff rate unless they are compliant with the US-Mexico-Canada Agreement (USMCA).Uncertainty over Trump’s trade plans and worries that they could tip the world’s biggest economy into a recession have roiled financial markets, with Wall Street indexes tumbling for a second straight day on Tuesday.Markets in Asia followed suit Wednesday, with Hong Kong and Shanghai both down.- ‘Massive uncertainty’ -Washington has framed the tariff moves as a bid to protect US steel and American workers as the sector declines and faces fierce overseas competition, especially from Asia.And it’s not the first time Trump has slapped tariffs on the metals.During his first presidency, he imposed duties on steel and aluminium exports in 2018 — forcing the EU to respond with its own higher duties that are frozen until the end of March.As part of the EU’s two-pronged approach to Trump’s actions, von der Leyen said Brussels will also allow those previous higher levies to be reinstated.The EU’s countermeasures would be fully in place by mid-April unless Trump reverses course.Even before the latest US tariffs took effect, manufacturers moved to find cost-effective domestic suppliers.The mere threat of protectionism, said the Cato Institute’s Packard, has allowed US steel and aluminium firms to raise their prices.”It’s creating massive amounts of uncertainty,” he added.Some US manufacturers using American steel consider the tariffs a positive development as these have boosted their business.But others warn that tariffs merely add to the cost of imports while allowing US-made goods to become equally expensive.Daco of EY also noted that the new steel and aluminium levies go further than measures Trump imposed in 2018 — covering a range of finished products atop of raw steel and aluminium.There is also a higher rate on aluminium imports this time and with duties layering onto existing restrictions this is “likely to make foreign sourcing more expensive across multiple industries”.The lack of exemptions Wednesday also comes despite US partners like Australia and Japan visiting Washington in recent days to push for exclusions.Top Japanese government spokesman Yoshimasa Hayashi said Wednesday it was “regrettable” that it had not succeeded.And Australian Prime Minister Anthony Albanese said the tariffs were “entirely unjustified” but that his country would not retaliate.The UK government called the new US tariffs “disappointing”, but stopped short of retaliating as it seeks a wider economic agreement with Washington.burs-oho/sco

European stock markets rose Wednesday but Asian equities sputtered as investors tracked President Donald Trump’s latest tariffs and a potential ceasefire in Ukraine.Analysts said support came from Ukraine endorsing an American proposal for a 30-day ceasefire, which was awaiting a response from Russia.Chinese stock markets closed lower Wednesday, while Europe’s main equity indices made solid gains nearing the half-way stage.There had been a further equities selloff in New York on Tuesday that saw the Nasdaq extend Monday’s four percent dive.All eyes were also on US inflation data due Wednesday.”Market volatility is rising as visibility (over tariffs) becomes cloudier by the day,” noted Ipek Ozkardeskaya, senior analyst at Swissquote Bank.The on-off nature of the trade policies has fuelled uncertainty in markets, and has sent the VIX “fear index” of volatility to its highest level since August.Global markets have endured severe swings this month as Trump looks to ramp up pressure on global partners by imposing or threatening hefty duties on their goods, citing huge trade imbalances.In the latest move, sweeping 25 percent levies on all US aluminium and steel imports came into effect at midnight in Washington, hitting numerous nations from Brazil to South Korea, as well as the European Union.Trump had threatened to double those on Canada after Ontario imposed an electricity surcharge on three US states, but he called that off after the province halted the charge.China and the European Union on Wednesday vowed to strike back and defend their economic interests, moving Washington closer to an all-out trade war with two major partners.Also in focus Wednesday is the release of key US consumer inflation data, which the Federal Reserve will keep a close eye on as it tries to determine monetary policy in light of the latest moves by Trump.There is a fear that the tariffs, and plans to slash taxes, regulation and immigration will fan inflation again, forcing the bank to hold borrowing costs for longer or even hike them.Analysts said high uncertainty in US stocks markets made other regions more attractive as investors seek out stability.”For years, the US has been the undisputed leader of global markets, fuelled by aggressive fiscal spending, tech dominance, and a strong consumer,” said Charu Chanana, chief investment strategist at Saxo.”But cracks are starting to show. Investors are increasingly looking overseas as concerns mount over US stock valuations, monetary policy, and economic uncertainty.”- Key figures around 1030 GMT -London – FTSE 100: UP 0.5 percent at 8,536.22 pointsParis – CAC 40: UP 1.1 percent at 8,027.20Frankfurt – DAX: UP 1.5 percent at 22,652.33Tokyo – Nikkei 225: UP 0.1 percent at 36,819.09 (close)Hong Kong – Hang Seng Index: DOWN 0.8 percent at 23,600.31 (close)Shanghai – Composite: DOWN 0.2 percent at 3,371.92 (close)New York – Dow: DOWN 1.1 percent at 41,433.48 points (close)Euro/dollar: UP at $1.0918 from $1.0915 on TuesdayPound/dollar: DOWN at $1.2941 from $1.2954Dollar/yen: UP at 148.69 yen from 147.70 yenEuro/pound: UP at 84.36 pence from 84.26 penceBrent North Sea Crude: UP 1.0 percent at $70.29 per barrelWest Texas Intermediate: UP 1.1 percent at $67.00 per barrel

Asian and European equities were mixed Wednesday as investors fret over President Donald Trump’s ever-changing trade policies amid increasing concern that his tariffs could send the US economy into recession.Global markets have endured severe volatility this month as the president looks to ramp up pressure on global partners by imposing or threatening hefty duties on their goods, citing huge trade imbalances.In the latest move, sweeping 25 percent levies on all US aluminium and steel imports came into effect at midnight in Washington (0400 GMT Wednesday), hitting numerous nations from Brazil to South Korea, as well as the European Union.On Tuesday, Trump threatened to double those on Canada after the province of Ontario imposed an electricity surcharge on three US states. The president called that off after Ontario halted the charge.The on-off nature of the trade policies has fuelled uncertainty in markets, and has sent the VIX “fear index” of volatility to its highest level since August.Traders appeared largely unmoved by Trump’s attempt to soothe worries over a recession after he warned at the weekend of “a period of transition” and refused to rule out a downturn.On Tuesday, he said at the White House: “I don’t see it at all. I think this country’s going to boom”, adding that markets “are going to go up and they’re going to go down. But you know what, we have to rebuild our country”.But Nicole Inui at HSBC wrote in a note: “The back and forth on tariff announcements is playing havoc with consumer and business confidence: policy uncertainty is at a record high, consumer confidence dropped sharply and small business optimism has pared back.”Consensus GDP forecasts were revised lower for the first time in eight months and market chatter about recession is creeping higher.”After another selloff in New York that saw the Nasdaq extend Monday’s four percent dive, Asian traders were also in a dour mood, though Europe was a little brighter.Tokyo edged up with Singapore, Seoul, Jakarta and Taipei.But Hong Kong, Shanghai, Wellington, Mumbai, Bangkok and Manila were in the red, with Sydney down more than one percent, on concerns about the impact of Trump’s latest tariffs on Australia’s economy.London, Paris and Frankfurt opened on the front foot.Also in focus Wednesday is the release of key US consumer inflation data, which the Federal Reserve will keep a close eye on as it tries to determine monetary policy in light of the latest moves by Trump.There is a fear that the tariffs, and plans to slash taxes, regulation and immigration will fan inflation again, forcing the bank to hold borrowing costs for longer or even hike them.Meanwhile, analysts said high uncertainty in US markets at the moment was making other regions more attractive as investors look for more stability.”For years, the US has been the undisputed leader of global markets, fuelled by aggressive fiscal spending, tech dominance, and a strong consumer,” said Charu Chanana, chief investment strategist at Saxo markets.”But cracks are starting to show. Investors are increasingly looking overseas as concerns mount over US stock valuations, monetary policy, and economic uncertainty.”- Key figures around 0815 GMT -Tokyo – Nikkei 225: UP 0.1 percent at 36,819.09 (close)Hong Kong – Hang Seng Index: DOWN 0.8 percent at 23,600.31 (close)Shanghai – Composite: DOWN 0.2 percent at 3,371.92 (close)London – FTSE 100: UP 0.3 percent at 8,518.45Euro/dollar: DOWN at $1.0898 from $1.0915 on TuesdayPound/dollar: DOWN at $1.2926 from $1.2954Dollar/yen: UP at 148.62 yen from 147.70 yenEuro/pound: UP at 84.33 pence from 84.26 penceWest Texas Intermediate: UP 0.4 percent at $66.50 per barrelBrent North Sea Crude: UP 0.4 percent at $69.82 per barrelNew York – Dow: DOWN 1.1 percent at 41,433.48 points (close)

The United States broadened its slate of tariffs Wednesday as sweeping levies on steel and aluminum imports took effect “with no exceptions or exemptions” as promised by the White House — despite countries’ efforts to avert them.President Donald Trump’s 25 percent duties on both metals will likely add to the cost of producing various goods from home appliances to automobiles and cans used for drinks, threatening to raise consumer prices down the road.”It wouldn’t surprise me to see the tariffs pretty quickly show up in prices,” Cato Institute research fellow Clark Packard told AFP.He added that auto manufacturing and construction — spanning both residential and commercial buildings — are among the biggest users of steel in the country.The European Commission said Wednesday it would impose “a series of countermeasures” from April 1 in response to the “unjustified trade restrictions” from the United States.”We deeply regret this measure,” European Commission chief Ursula von der Leyen said in a statement, adding: “As the US are applying tariffs worth $28 billion, we are responding with countermeasures worth” the equivalent in euros.Trump has imposed steep tariffs on major US trading partners Canada, Mexico and China since returning to office, allowing only a partial rollback for his country’s neighbors while vowing fresh levies from April 2.The latest duties will again impact Canada heavily, with the country supplying about half of US aluminum imports and 20 percent of its steel imports, according to a recent note by EY chief economist Gregory Daco.Besides Canada, Brazil and Mexico are also key US suppliers of steel, while the United Arab Emirates and South Korea are among the major providers of aluminum.Wednesday’s levies stack atop earlier ones. This means some Canada and Mexico steel and aluminum products likely face a 50 percent tariff rate unless they are compliant with the US-Mexico-Canada Agreement (USMCA).Uncertainty over Trump’s trade plans and worries that they could tip the world’s biggest economy into a recession have roiled financial markets, with Wall Street indexes tumbling for a second straight day on Tuesday.But Trump has played down fears over his handling of the economy, saying Tuesday he does not see a downturn coming while dismissing losses on Wall Street.- ‘Bumpy’ transition -Trump’s trade decisions have come with volatility, with the president threatening to double the tariff rate on Canadian steel and aluminum to 50 percent less than a day before the levies were due to kick in.Canada’s Ontario province had decided to impose an electricity surcharge on three American states in retaliation for earlier US levies, prompting Trump’s furious response.Washington and Ottawa swapped angry tariff warnings throughout the day as trade tensions surged, and Trump doubled down on provocative plans to annex his country’s northern neighbor.But Ontario halted the surcharge after talks with Washington.White House spokesman Kush Desai said Trump “used the leverage of the American economy” in order to “deliver a win for the American people.”Ontario Premier Doug Ford, US Commerce Secretary Howard Lutnick and US Trade Representative Jamieson Greer are set to meet in Washington on Thursday “to discuss a renewed USMCA ahead of the April 2 reciprocal tariff deadline,” according to a US-Canada joint statement.Asked about Trump’s oscillation on tariffs, White House senior counselor Peter Navarro told reporters that the process was “a negotiation.””It is a transition,” he added. “It’s going to be at times, perhaps a little bumpy.”- Massive uncertainty -Even before the latest tariffs took effect, manufacturers have scrambled to find cost-effective domestic suppliers.The mere threat of protectionism, said the Cato Institute’s Packard, has allowed US steel and aluminum firms to raise their prices.”It’s creating massive amounts of uncertainty,” he added.Some US manufacturers using American steel consider the tariffs a positive development as these have boosted their business.But others warn that tariffs merely add to the cost of imports while allowing US-made goods to become equally expensive.Daco of EY also noted that the new steel and aluminum levies go further than measures Trump imposed in 2018 — covering a range of finished products atop of raw steel and aluminum.There is also a higher rate on aluminum imports this time and with duties layering onto existing restrictions this is “likely to make foreign sourcing more expensive across multiple industries.”The lack of exemptions Wednesday also comes despite US partners like Australia and Japan visiting Washington in recent days to push for exclusions.Australian Prime Minister Anthony Albanese said Wednesday the tariffs were “entirely unjustified” but that his country would not retaliate.It is unclear if Trump will, as he did in his first administration, eventually grant relief to some countries and cut deals with others.Looking ahead, Trump has vowed separate reciprocal levies as soon as April 2 to remedy trade practices Washington deems unfair, raising the potential for more products and trading partners to be specifically targeted.