45 h. ago Trump threatens 17% tariffs on food and farm produce exports from Europe

EU says it ‘favours a negotiated solution’ but is prepared for potential trade war with retaliatory dutiesDonald Trump threatened to impose 17% tariffs on food and farm produce exports from Europe during talks in Washington this week, it has emerged.Such tariffs would hit everything from Belgian chocolate to Kerrygold butter from Ireland and olive oil from Italy, Spain and France, all big sellers in the US. Continue reading...

Politics

51 h. ago China warns Trump’s tariff war will have ‘no winners’ as deadline looms

Beijing hopes Washington will continue to meet it halfway

Events

3 d. ago US economy adds 147,000 jobs in June, surpassing expectations amid Trump trade war

Economists anticipated drop, but 8,000 new positions were added in June compared with May, with unemployment rate down to 4.1%The US economy added 147,000 jobs in June, a sign of continuing strength in the labor market amid Donald Trump’s trade war.The number of jobs added surpassed expectations, as economists largely anticipated a drop in openings. Instead, 8,000 more jobs were added in June compared with May, according to new job figures from the Bureau of Labor Statistics (BLS). The unemployment rate actually decreased to 4.1%, down from 4.2% in May. Continue reading...

Politics

9 d. ago Trump tariffs: US economy saw stark drop in GDP growth as businesses rushed to secure imports

Revised data shows economy shrank more than previously thought as president’s global trade war loomed and consumer spending softened

Economics

2 w. ago Canada poised to pass infrastructure bill despite pushback from Indigenous people

Bill prioritizes ‘nation-building’ pipelines and mines, causing concern that sped-up approvals will override constitutional rightsCanada’s Liberal government is poised to pass controversial legislation on Friday that aims to kick-start “nation building” infrastructure projects but has received widespread pushback from Indigenous communities over fears it tramples on their constitutional rights.On its final day of sitting before breaking for summer, parliament is expected to vote on Bill C-5. The legislation promised by Mark Carney, the prime minister, during the federal election, is meant to strengthen Canada’s economy amid a trade war launched by Donald Trump. Continue reading...

Politics

2 w. ago UK interest rates expected to remain on hold; rate cuts in Norway, Switzerland and the Philippines – business live

Central bankers warn that trade war worries, and conflict in the Middle East, could hurt growthNewsflash: We have a third interest rate cut this morning!Norway’s central bank has surprised analysts by cutting its policy rate by a quarter of one percentage point, to 4.25%. The rate had been set at 4.5% since December 2023.“Inflation has declined since the monetary policy meeting in March, and the inflation outlook for the coming year indicates lower inflation than previously expected.A cautious normalisation of the policy rate will pave the way for inflation to return to target without restricting the economy more than necessary.”“The uncertainty surrounding the economic outlook is now greater than normal. If the economy takes a different path than currently envisaged, the policy rate path may be adjusted. But our objectives stand firm. We will finish the job and ensure that inflation is brought all the way back to 2 percent.”The Monetary Board also noted indications of a deceleratio...

Politics

2 w. ago Bank of England expected to leave interest rates on hold as Middle East conflict pushes up oil price – business live

Rolling coverage of the latest economic and financial news, as Switzerland and Philippines cut interest ratesNewsflash: We have a third interest rate cut this morning!Norway’s central bank has surprised analysts by cutting its policy rate by a quarter of one percentage point, to 4.25%. The rate had been set at 4.5% since December 2023.“Inflation has declined since the monetary policy meeting in March, and the inflation outlook for the coming year indicates lower inflation than previously expected.A cautious normalisation of the policy rate will pave the way for inflation to return to target without restricting the economy more than necessary.”“The uncertainty surrounding the economic outlook is now greater than normal. If the economy takes a different path than currently envisaged, the policy rate path may be adjusted. But our objectives stand firm. We will finish the job and ensure that inflation is brought all the way back to 2 percent.”The Monetary Board also noted indications of...

Economics

2 w. ago Bank of England expected to leave interest rates as Middle East conflict drives up oil price – business live

Rolling coverage of the latest economic and financial newsEurope’s main stock markets have dropped at the start of trading.In London, the FTSE 100 index has lost 33 points, or 0.37%, to 8810 points. Mining stocks are among the fallers. Continue reading...

Economics

2 w. ago UK transport secretary calls HS2 an ‘appalling mess’ as she confirms delay

Heidi Alexander vows to ‘sort out’ HS2 project; UK inflation dips to 3.4% as transport costs ease while food prices jumpUK inflation eases to 3.4% amid falling fuel and air fare pricesInflation pressures remain sticky in the UK, according to Rob Wood, chief UK economist at Pantheon Macroeconomics.Looking ahead, we continue to expect CPI inflation to average 3.4% for the rest of the year as strong wage growth, minimum wage hikes and tax increases pass through to retail prices. We think headline inflation will struggle to dip below 3% before April 2026. By that point, inflation will have been above target almost continuously for five years, risking further deanchoring of inflation expectations and persistent wage pressure.Granted, US president Trump’s trade war could lead to some diversion of Chinese exports previously bound to the US, which could cut UK inflation. But war in the Middle-East has boosted oil and natural gas prices, adding 10bp to our forecast inflation peak and risks p...

Politics

2 w. ago Why Europe should hijack Nato for its own purposes | Paul Taylor

As the Trump administration’s security focus shifts towards countering China, European governments are living on borrowed timeCall it the five-for-five summit. When Nato leaders meet in The Hague next week, European allies will sign up to a phoney transatlantic bargain in which they pretend they will spend 5% of their economic output on defence and Donald Trump pretends in return that he is committed to Article 5 of the Nato treaty, the mutual defence clause that he has repeatedly undermined.The Nato secretary general, Mark Rutte, is deploying all his considerable political wiles and powers of persuasion to contrive a short, “no surprises” summit at which fundamental differences over Russia’s war of aggression against Ukraine, trade, the Middle East and liberal democratic values are deliberately excluded.Paul Taylor is a senior visiting fellow at the European Policy Centre Continue reading...

Politics

2 w. ago Live: Trump and world leaders attend G7 summit against backdrop of trade war tension and Middle East conflict

Watch live as Donald Trump meets Canadian Prime Minister Mark Carney as he attends the G7 summit in Alberta on Monday (16 June).

Politics

3 w. ago Vietnam risks being the trade war’s biggest loser. Does it have a plan B?

The south-east Asian country benefited hugely from US-China tensions, but the Trump tariffs strike at the heart of its economy

Events

3 w. ago China delays approval of $35bn US chip merger amid Trump’s trade war

Beijing’s antitrust regulator postpones sign-off on Synopsys and Ansys deal

Politics

3 w. ago Trump says China will face 55% tariffs under trade deal; US inflation rises to 2.4% – business live

Rolling coverage of the latest economic and financial newsElon Musk says he regrets some of his posts about Trump: ‘They went too far’US-China trade talks: ‘framework’ deal amid dispute over rare earthsShares in Tesla are set to rally in New York later today, after Elon Musk attempted to patch up relations with Donald Trump.Tesla’s shares are up 2.5% in premarket trading at $334.28, as traders react to Musk’s expression of regret over his criticism of Trump last week. Continue reading...

Economics

3 w. ago Trump says Trade War ‘deal with China is done’ and he and Xi agree on minerals: ‘FULL MAGNETS’

China’s restrictions on rare earth exports have been putting pressure on American manufacturers who rely on them for a wide range of products

Politics

3 w. ago Trump declares deal with China is ‘done’; US inflation rises to 2.4% – business live

Rolling coverage of the latest economic and financial newsElon Musk says he regrets some of his posts about Trump: ‘They went too far’US-China trade talks: ‘framework’ deal amid dispute over rare earthsShares in Tesla are set to rally in New York later today, after Elon Musk attempted to patch up relations with Donald Trump.Tesla’s shares are up 2.5% in premarket trading at $334.28, as traders react to Musk’s expression of regret over his criticism of Trump last week. Continue reading...

Economics

3 w. ago Trump declares deal with China is ‘done’, with agreement on rare earths and magnets – business live

Rolling coverage of the latest economic and financial newsElon Musk says he regrets some of his posts about Trump: ‘They went too far’US-China trade talks: ‘framework’ deal amid dispute over rare earthsShares in Tesla are set to rally in New York later today, after Elon Musk attempted to patch up relations with Donald Trump.Tesla’s shares are up 2.5% in premarket trading at $334.28, as traders react to Musk’s expression of regret over his criticism of Trump last week. Continue reading...

Economics

3 w. ago Tesla shares rise as Musk ‘regrets’ posts about Donald Trump; US

Rolling coverage of the latest economic and financial newsElon Musk says he regrets some of his posts about Trump: ‘They went too far’US-China trade talks: ‘framework’ deal amid dispute over rare earthsShares in Tesla are set to rally in New York later today, after Elon Musk attempted to patch up relations with Donald Trump.Tesla’s shares are up 2.5% in premarket trading at $334.28, as traders react to Musk’s expression of regret over his criticism of Trump last week. Continue reading...

Politics

3 w. ago Elon Musk says he ‘regrets’ some of his posts about Donald Trump; US

Rolling coverage of the latest economic and financial newsUS-China trade talks: ‘framework’ deal amid dispute over rare earthsShares in Tesla are set to rally in New York later today, after Elon Musk attempted to patch up relations with Donald Trump.Tesla’s shares are up 2.5% in premarket trading at $334.28, as traders react to Musk’s expression of regret over his criticism of Trump last week. Continue reading...

Politics

3 w. ago Stock markets rise after US and China agree framework deal to restore trade war truce – business live

Rolling coverage of the latest economic and financial newsUS-China trade talks: ‘framework’ deal amid dispute over rare earthsRichard Hunter, head of markets at interactive investor, says this week’s talks in London between the US and China “represent progress”, despite the lack of detail about what was agreed:“Apparently constructive talks between the US and China have put markets on a firmer footing, as investors hope that the worst of the tariff turbulence may have passed.Details of the framework which has been agreed in principle were patchy and in any event yet to be signed off by both Presidents. Chinese exports of rare earth minerals are likely to have been high on the agenda, although at this stage it has not become apparent what China may have negotiated in return.“Markets will likely welcome the shift in tone from confrontation to coordination. But with no further meetings scheduled, we’re not out of the woods yet. The next step depends on Trump and Xi endorsing and enforc...

Economics