ASIA/PACIFIC
Asian stocks ended mixed on Monday, as escalating trade tensions kept investors on edge. Over the weekend, U.S. President Donald Trump pledged to impose tariffs on all imports of steel and aluminum and introduce reciprocal tariffs on multiple countries. Japan: The Nikkei 225 ended the session flat, as Trump threatened tariffs on Japanese goods if the U.S. trade deficit with Tokyo is not addressed.
China: Retaliatory Chinese tariffs on U.S. goods came into effect today, responding to Trump’s 10% tariff on Chinese imports that was recently implemented. Meanwhile, investors analyzed the latest Consumer Price Index (CPI) data, which showed a 0.5% year-on-year increase in January. Australia: The ASX 200 closed in the red, led by declines in the mining sector. Trade Minister Don Farrell defended Australia’s steel and aluminum exports, emphasizing their role in supporting thousands of U.S. jobs and strengthening defense ties between the two nations.
EUROPE
European markets started the week on a positive note, seemingly shrugging off Trump’s latest tariff announcement. The European Commission condemned the proposed U.S. tariffs on aluminum and steel, calling them “unlawful and economically counterproductive.” Investor confidence in the Eurozone increased five points month-on-month, reaching negative 12.7 in February, according to a new Sentix report. Corporate News: Shares of British energy giant BP surged following reports that activist investor Elliott Management has acquired a stake in the struggling oil major.
AMERICAS
Major Wall Street stock indices opened higher on Monday, as investors digested Trump’s plan to implement 25% tariffs on all steel and aluminum imports. The announcement triggered a rally in U.S. Steel shares and extended gold’s bullish momentum. In Latin America, Brazil may impose taxes on U.S. tech platforms if Trump proceeds with steel and aluminum tariffs, according to a report by Folha de S.Paulo, citing a government official.
AFRICA
The African Union (AU) is set to launch the Africa Credit Rating Agency (AfCRA) next week during the 37th AU Ordinary Summit. The new agency aims to provide an alternative to Western credit rating institutions and strengthen Africa’s financial independence. Michael Atingi-Ego has been appointed as the new Governor of the Bank of Uganda, bringing an end to a three-year vacancy following the death of Emmanuel Tumusime-Mutebile in January 2022.
MIDDLE EAST
Most Gulf stock markets ended higher on Monday, as investors shifted focus to corporate earnings, despite concerns over U.S. tariffs. While GCC and MENA countries remain insulated from direct U.S. tariffs, potential trade restrictions on Canada, Mexico, and the Eurozone could impact the region through higher interest rates, according to BMI analysts.
COMMODITIES
GOLD
Spot gold rose 1.3% to $2,897.99 per ounce, while U.S. gold futures gained 1.2%, reaching $2,923.10 per ounce, as Trump’s tariff threats fueled safe-haven demand.
OIL
Brent crude futures climbed 1%, or 74 cents, to $75.40 per barrel, while U.S. West Texas Intermediate (WTI) crude rose 1%, or 72 cents, to $71.72 per barrel, as markets stabilized after initial tariff concerns.
