The week ending last Sunday was marked by events in international trade and relations between the US, Russia, and China. This article examines the key points.
Sanctions Against Russia
The deadline set by Trump for Russia has passed. The US intends to impose tariffs against Russia, which are expected to be more effective when cooperating with European countries. The US Treasury Secretary stated that until European countries take similar measures, the US would not impose duties on Chinese goods purchasing Russian oil. Decisive actions are expected against major Russian oil companies and frozen assets.
Negotiations with China
During constructive discussions between European officials and representatives from China, tariffs and the TikTok situation were discussed. Chinese negotiators agreed to a framework deal for the sale of TikTok after a threat to close the app emerged. Upcoming US-China talks could lead to extending the tariff truce by another 90 days.
Current Market Situation
Markets remain tense as they await further decisions from the US and the EU. Regardless of how things play out, the threats of additional 100% duties remain open. This may have a negative effect on risk markets, including cryptocurrencies, which are also experiencing instability amid news of sanctions.
Thus, the current global economy remains under pressure from uncertainty in international trade and potential new sanctions against Russia. It is important to monitor developments, as they may significantly impact financial markets.
