Daily Report

5 de Março de 2025
Financial Markets | daily report 05.03.2025
  • Generalized risk-off session as trade tensions intensified. Following the new round of US tariffs on Canadian, Mexican, and Chinese imports, China imposed a 10-15% tariff on US agricultural products, Canada announced 25% tariffs on C$30 billion worth of U.S. imports, and Mexico stated it would announce tariffs over the weekend.
  • Global equity markets sold off, with euro area indices especially hit as they caught up with their global counterparts’ performance in the previous session. US equity indices are now below their levels when President Trump won the election. The VIX volatility index continued to rise and is now +74% over a 12 month-period.
  • Euro area sovereign yields edged higher as German parties advanced in their negotiations to form a government coalition and reform the debt brake, and as proposals to increase defense spending among EU members arose. In the US, Treasury yields ended higher after a choppy trading session.