Source: Sharecast
He also announced an additional 10% tariff on nations “aligning themselves with the anti-American policies of BRICS”, without providing further details.
The comments coincided with a BRICS summit in Brazil.
Treasury secretary Scott Bessent noted overnight that the 1 August date was not a new deadline, despite being later than the 9 July previously flagged by the Trump administration, adding that it would allow time for further negotiations.
“This week, global markets are navigating like convoy trucks in a foggy warzone - headlights dim, signals murky, and every trader hoping the lead vehicle doesn’t drive them into a ditch,” said Stephen Innes at SPI Asset Management.
“With the 9 July tariff deadline fast approaching, all eyes are trained on Washington, scanning for signs of escalation or retreat.
“The path forward isn’t clear, but the terrain is littered with risk.”
Innes said Asian equities “crept cautiously out of the gate” on Monday, with their engines “idling more than accelerating”.
“Oil prices eased slightly, with positioning reflecting an uneasy balance - OPEC’s output bump was well telegraphed, but the question now is whether that nudge tips crude into heavy oversupply.
“So far, it feels less like a flood and more like the start of a slow leak.
“Currency markets offered little in the way of drama - the dollar held its ground, even as US equity futures edged lower, with the overall tone more indicative of risk management than risk appetite.”
Markets mixed as Trump confirms August tariff start
In Japan, the Nikkei 225 fell 0.56% to 39,587.68 and the Topix dropped 0.57% to 2,811.72.
Yaskawa Electric plunged 10.29%, SMC dropped 7%, and Nissan Motor declined 4.91%.
Mainland China markets were mixed - the Shanghai Composite rose 0.02% to 3,473.13, led by strong gains in small-cap stocks.
Jinan High Tech Development surged 10.16%, Flying Technology rose 10.06%, and Lanzhou Greatwall Electrical added 10.05%.
However, the Shenzhen Component slipped 0.7% to 10,435.51.
Hong Kong’s Hang Seng Index edged down 0.12% to 23,887.83.
WuXi Biologics fell 4.39%, Xinyi Solar lost 4.17%, and Zijin Mining Group declined 3.33%.
South Korea’s Kospi 100 dipped 0.02% to 3,089.08.
Kogas sank 7.18%, EcoPro Materials dropped 4.39%, and Posco Daewoo fell 4.13%.
In Australia, the S&P/ASX 200 declined 0.16% to 8,589.30.
Northern Star Resources slumped 8.65%, Polynovo fell 4.51%, and Collins Foods slid 4.35%.
Across the Tasman Sea, New Zealand’s S&P/NZX 50 slipped 0.01% to 12,764.95.
KMD Brands dropped 3.7%, Sanford lost 2.59%, and Freightways declined 1.86%.
In currency markets, the dollar was last up 0.69% on the yen to trade at JPY 145.47, as it climbed 1.01% against the Aussie to AUD 1.5407, and advanced 1.12% on the Kiwi, changing hands at NZD 1.6685.
Oil prices were mixed, with Brent crude futures last up 0.31% on ICE at $68.51 per barrel, while the NYMEX quote for West Texas Intermediate slipped 0.24% to $66.84.
Japan real wages slide, RBA poised for rate cut
In economic news, Japan's real wages fell at their fastest pace in nearly two years, raising concerns over consumer purchasing power and inflation dynamics.
Data from the Ministry of Health, Labour and Welfare showed a 2.9% year-on-year drop in real wages in May, steeper than the revised 2.0% decline in April.
It marked the fifth consecutive monthly decrease in inflation-adjusted earnings, despite nominal wages continuing to rise each month since December 2021.
In Australia, the Reserve Bank began its two-day policy meeting, with economists widely expecting a 25 basis point cut to bring the cash rate to 3.6%.
ANZ forecast similar moves in both July and August, citing the economy’s resilience and a still-tight labour market.
Commonwealth Bank of Australia also expected a 25 basis point reduction, but ruled out a larger cut, noting a less uncertain global environment compared to earlier in the year.
Reporting by Josh White for Sharecast.com.
