U.S. President Donald Trump increased tariffs on Canadian steel and aluminum, leading to significant declines in the stock market.
New Tariff Increases
Trump announced an increase in tariffs on Canadian steel and aluminum from 25% to 50%. This decision is part of an ongoing trade war that has already seen substantial tariffs on imports from China, Mexico, and Canada. Trump justified the move by referring to Ontario's 25% tariff on U.S. electricity imports.
Threats to Canada's Auto Industry
Trump also warned of potential tariffs on Canadian cars unless tariffs on U.S. dairy products are removed. He described Canada's current dairy tariffs as 'outrageous' and threatened that the Canadian auto industry could suffer if changes aren't made.
Bitcoin Stabilization
While the stock market faces turmoil, Bitcoin appears relatively stable, holding around $81,300. Analysts are considering the potential for a short squeeze as hedge funds shift toward a more positive outlook.
The stock market is currently facing challenges, but the stability in the crypto market and positive signals from hedge funds suggest a potential recovery.
