Trump Escalates Trade War, Markets on Edge

Donald Trump has threatened new tariffs on the EU in response to its planned countermeasures against his steel and aluminum duties.

During a meeting with Ireland’s Prime Minister, he criticized the bloc’s policies and warned of further action.

Canada also hit back, announcing $29.8 billion in tariffs, while its central bank cut interest rates, anticipating economic fallout. The U.S. is now considering restrictions on copper, while the EU’s response could hit $28 billion worth of American exports. Markets fear a deeper trade conflict.

Trump’s tariff policies have alarmed business leaders and lawmakers. Tech executives met with him to raise concerns, but he remained focused on boosting domestic investment. Treasury Secretary Scott Bessent’s remark that the economy needs a “detox” worsened recession fears, sending Wall Street into decline.

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ECB President Christine Lagarde warned that U.S. trade policies are fueling instability, citing tariffs as a threat to EU exports. Rising defense spending in Europe could push inflation higher, while the ECB, already grappling with uncertainty, recently cut rates to 2.5%. She stressed the need for transparency in guiding businesses and consumers through volatile conditions.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.