The News
Markets brightened after major US trading partners voiced bullishness on reaching deals to avoid punishing tariffs.
The European Union said it would “fast-track” negotiations with Washington, while Japan expressed hope it would agree a deal for tariff relief ahead of a G7 summit next month, helping drive a rally in government bonds globally and pushing US stock futures higher.
Yet major hurdles remain, both for the trade talks and markets. Analysts warned that US President Donald Trump’s tariff policy was unlikely to stabilize, with one expert cautioning investors to “buckle up,” while all-important bond markets will likely refocus their attention on the mammoth US deficit. “While tariff headlines have taken over,” an ING economist noted, “the fiscal trajectory still matters.”