Latest / Best of Business / Shane Solly: Harbour Asset Management spokesperson on the market reactions to Trump's newest tariff threats

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Shane Solly: Harbour Asset Management spokesperson on the market reactions to Trump's newest tariff threats · Best of Business

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  Speaker 1: You're listening to a podcast from news Talk zed Be.
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  Speaker 2: Market Shane Sally Harbor Resit Management with us, Hey, Shane,
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  Speaker 2: get it Ryan. How markets react to Trump's latest trade
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  Speaker 2: tariff announcements.
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  Speaker 3: Well, mister Trump, he's pretty good at keeping us on
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  Speaker 3: our toes. The US shear market futures, this S and
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  Speaker 3: P futures is what's telling us the market expects to
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  Speaker 3: happen tonight. Our time is down on point four percent
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  Speaker 3: after mister Trump, he warned us that he's going to
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  Speaker 3: put sending some letters out to people up to ten
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  Speaker 3: to twelve on Friday, and he's going to start sitting
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  Speaker 3: livies as much as seventy percent unilasterally a heat of
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  Speaker 3: this July ninth deadline. So he's throwing a few We're
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  Speaker 3: going to make this happen things today. He's come out
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  Speaker 3: he's on time this afternoon and said he's going to
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  Speaker 3: put an extra ten percent tariff on those countries.
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  Speaker 4: Align with Brooks, this is.
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  Speaker 3: The the emerging nations includes Russia and China, Brazil and
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  Speaker 3: then adding to the US Treasury Secretary Scot the Cent
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  Speaker 3: they said that here, mister Trump may impose April second
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  Speaker 3: Liberation Day level tariffs on countries that don't reach a
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  Speaker 3: deal beginning of the first of August.
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  Speaker 4: Now that is different from the July to night.
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  Speaker 3: So that suggests that face for you, you're going to
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  Speaker 3: see this extension of tariff paise again.
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  Speaker 4: So that's what capital markets are thinking.
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  Speaker 3: We're all thinking US government's going to push tariff's pauses
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  Speaker 3: out further. If we don't get that, and if we
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  Speaker 3: actually get increased tariffs, that would be a surprise for
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  Speaker 3: capital markets.
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  Speaker 2: Yeah, okay, interesting. What about the RBA tomorrow their decision.
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  Speaker 3: Yeah, so the IRBA, Australia's central bankers their bank in
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  Speaker 3: Australia widely expected to deliberate a point two five percent cut.
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  Speaker 3: That's at four thirty Zone time, and that would take
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  Speaker 3: Australia's official illustrate down to three point six from three
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  Speaker 3: point eight five. At the moment, it's the key for market,
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  Speaker 3: it's all about tone inflations falling back to.
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  Speaker 4: Within the irba's target bands.
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  Speaker 3: They could do more cuts, but similarly, they might want
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  Speaker 3: to wait and see how the three twenty five basis
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  Speaker 3: points cuts through from December kick through. That would be
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  Speaker 3: what's called a hawkish cut, so they'll cut rates and
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  Speaker 3: then they'll say we're going to wait and see the
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  Speaker 3: key thing from Zona. Course on Wednesday, we've got our
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  Speaker 3: own reserve bank coming out and markets aren't expecting anything. Ryan,
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  Speaker 3: It's very much steady as she goes. But there is
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  Speaker 3: a growing view that the IRB has some room to
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  Speaker 3: start talking about potentially cutting rates, and that would be
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  Speaker 3: a what's called a doubvish hole, so they wouldn't cut,
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  Speaker 3: but they'd start talking about potentially cutting. So quite a
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  Speaker 3: big difference between the RBA and the RBNZ certainly is.
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  Speaker 2: And we've got our call obviously this week as well.
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  Speaker 2: What about OPEK cranking up the oil production. How's that
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  Speaker 2: been received?
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  Speaker 3: Yeah, actually quite poisonively, just the increase in production. So
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  Speaker 3: IPEK places talking about increasing production by five hundred and
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  Speaker 3: forty eight thousand barrels a day, very specific number, which
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  Speaker 3: is up high then they previously indicated four hundred and
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  Speaker 3: eleven thousand dollars barrels a day. What that's mean is
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  Speaker 3: we're seeing the Brent oil price, the futures again, the
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  Speaker 3: forward market, what markets may do overnight. New Zealand time
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  Speaker 3: expecting their or price to fall by zero point seven percent,
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  Speaker 3: so just under one percent to just over sixty eight
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  Speaker 3: dollars US per barrel, and of course that lower all price,
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  Speaker 3: they'd be helpful in terms of inflation relief, maybe allowing
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  Speaker 3: some of those central bankers to think about cutting rates again.
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  Speaker 4: Perhaps, Ryan, that'd be nice.
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  Speaker 2: Shane, appreciate your time, Shane, Solly Harbor Asset Management with
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  Speaker 2: us for a market rap for this evening.
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