U.S. Imposes Global Tariffs
Week of March 31 – April 4
Here are the key events that influenced market sentiment this week:
United States
- The U.S. announced a new 10% blanket tariff on imports, with reciprocal measures for over 150 countries starting April 9.
- Nonfarm payrolls exceeded expectations in March, adding +228,000 jobs, though unemployment rose to 4.2%.
- Manufacturing activity contracted for the first time this year, according to the ISM index.
Europe
- Inflation fell to 2.2% year-over-year, in line with expectations.
- Markets anticipate a 25-bps rate cut at the ECB’s April 17 meeting.
- The European Commission responded to U.S. tariffs and is preparing countermeasures.
China
- The manufacturing PMI reached a 12-month high, driven by a surge in new orders.
- The country will face a 54% tariff on its exports to the U.S. and has retaliated with a 34% tariff on U.S. goods.
Brazil
- Industrial production unexpectedly declined by 0.1% month-over-month in February, dragged down by durable goods manufacturing.
Mexico
- February remittances totaled $4.459 billion, down 1% year-over-year.
- Mexico and Canada were excluded from the U.S. tariff announcement.
- The government introduced an 18-point plan to boost domestic consumption, investment, and social programs.
In times of volatility, it’s essential not to be swayed by short-term noise—discipline and patience create long-term wealth.
Important events:
- April 9: The U.S. Federal Reserve minutes will be released.
- April 10: March inflation data will be published in the U.S.
Monitor
