US President Donald Trump’s tariffs on Friday, the global market faces confusing states after a plunge in stock futures and triggering large -scale encryption liquidation to intensify long -term high interest rates.
DOW FUTURES fell 1.2% late on Sunday, while S & P 500 and NASDAQ FUTURES fell 1.9% and 2.7%, respectively. presentation 25% of tariffs on Mexico and Canadian products, 10% on imports of China. They will take effect on Monday at 12:1 am.
Bitcoin and Ethereum sank 5%and 10%, while Dogecoin and XRP decreased 19%, respectively.
The 24/7 transaction, the encryption market, has become an initial indicator of a wider market sentiment. The decrease in future markets and encryption suggests that merchants expect considerable turbulence when the US market is open on Monday.
The upheaval is the relocation of more than 120 S & P 500 companies to report results. Market observers warn that ongoing trade tensions can greatly affect future corporate interests and expectations.
Ryan Mcmillin, the chief investment officer at Crypto Fund Manager Merkle Tree Capital, said, “Initially, volatility will always be high. Trump is trying to prevent the flow of Pentanil from Mexico and Canada, said Ryan Mcmillin, the chief investor at Crypto Fund’s Merkle Tree Capital. decoding.
“In the short term we stood on the floor. Market manufacturers have been swept away for a long time using this tariff news cycle, and now there is little liquidity to lower prices, ”McMillin said.
According to CoingLass, the announcement has triggered more than $ 1 billion encryption liquidation over the last 24 hours. data. Bitcoin is the lowest in three weeks, while Ether Lee has plunged to about $ 2,800 at $ 2,800, gaining profits from early November.
According to Nick Forster, the founder of the Defi Fivatives protocol, recent tariffs are expected to lead to an increase in inflation.
Forster said, “The market volatility is already increasing because BTC’s 30 -day implicit volatility has increased from 4% to 54% due to this tariff and extensive economic uncertainty. decoding. “We expect this volatility to continue because more voice catalysts are likely to be developed in the next few weeks.”
Market response reflects the concern that tariffs can maintain a higher rate in 2025 by the Federal Reserve Bank. Inflation pressure due to import costs and interruption of supply chain reduces the likelihood of cuts this year.
“In fact, we are in an unprecedented political support period for encryption and there is a tremendous uncertainty about how the tariff war will proceed. decoding.
“We expect this week we have non -farm salary and unemployment data, and the market will be sensitive to the surprise of the upcoming or shortcomings. He said.
The higher the higher interest rates, the more it can affect the borrowing in the main market. Especially in the case of encryption, there is a risk. Or I think.
“As the inflation pressure increases, the Fed can maintain or raise interest rates, which has made it less advantageous for its favorable conditions for password assets, which can lead to contractions in the digital assets in the next few quarters. . “
Slight pain
The trading partner has announced a quick retaliation. Canada has imposed a 25%tariff on US $ 155 billion US products, Mexico promised to take measures, and China plans to lawsuits of the world trade group.
In the early Asian trading time, the US dollar increased rapidly, pushing the Canadian dollar. The weakest In nine years. According to the IMF, the euro has fallen the lowest since November 2022. data.
“Is there pain? Yes, maybe (maybe not!)” President ” Sayed Social media mentioned the response to his tariffs.
Trump’s tariffs said that Dominick John, an analyst of Chronos Research, “Uncertainty” Dominick John, said that it was “shaking more than $ 700 million, shaking the encryption market.” decoding.
US companies with significant international exposure are facing special pressure. Technology and consumer discretion that rely heavily on global supply chains increases vulnerability in commercial transactions.
I need to be careful, but some believe that the market response is exaggerated.
“Trump has left the tariff to connect Pentanil trade related to Canada, Mexico and China,” said Peter CHUNG, a Singapore -based algorithm encryption trading company. decoding.
CHUNG suggested that tariffs can be released by strengthening control of pentanil production and strengthening trafficking to the level of Trump in Mexico, Canada and China.
“We will see how it works. I felt that trade tension could spread faster than people thought, ”he said.
Editor’s Note: Add additional opinions from Hundal and Chung.
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