Trump sets August 1 deadline for tariffs

The United States announced adjustments to its tariff policies on Tuesday, setting a new deadline of August 1 for imposing tariffs on certain nations. This caused tension in the financial markets, with S&P 500 futures and Asian shares slipping amid the uncertainty. Despite the turmoil, oil prices have shown resilience, absorbing the OPEC+ decision to increase output without severe fluctuations.

A busy week ahead for the global economy and markets … after one dominated by fiscal issues, particularly in the United States and the United Kingdom.
Wednesday marks the end of US President Trump’s 90-day delay to the individual country tariffs announced on "Liberation Day" in…

— Mohamed A. El-Erian (@elerianm) July 6, 2025

The U.S. dollar showed a modest recovery from its recent four-year lows, edging up slightly as traders digest the latest trade policy adjustments. President Trump issued a fresh tariff threat late Sunday, confirming that country-specific duties will kick in on August 1. This increases trade uncertainty as the end to his tariff pause looms.

#WATCH | Global churn intensifies:
🚨 US Treasury Secy Bessent says trade deals with 18 nations are close — but tariffs return Aug 1 if no deal
📉 BOE’s Alan Taylor warns UK inflation risks & economic soft landing under threat
🇺🇸 Elon Musk launches 'America Party' post Trump’s… pic.twitter.com/FkvpRVIwg6

— ET NOW (@ETNOWlive) July 7, 2025

Trump stated that any country aligning itself with the “anti-American policies of BRICS” will face an additional 10% tariff.

#WATCH | Trump administration ramps up pressure on trade partners—warning letters over new tariffs could go out today, with duties kicking in from August 1 unless deals are reached. Only the UK and Vietnam have secured terms so far. Canada stays off the list… for now. Listen in! pic.twitter.com/uMace7F9fz

— ET NOW (@ETNOWlive) July 7, 2025

The heightened trade tensions come as nations race to finalize tariff deals ahead of Trump’s self-imposed deadline of July 9, which will see the resumption of the steep April tariffs. Global markets have been on edge, with the U.S. having reached deals only with the UK and Vietnam, and a framework towards an agreement with China.

⚠ #WeekAhead #Preview: Week 28 (2025) ⚠

🇺🇸 🌎 U.S. #Tariff Deadline
🇰🇷 🇦🇺 🇳🇿 #BOK, #RBA and #RBNZ Meetings
🇺🇸 #FOMC Minutes
🌎 #Amazon’s Prime Day
🇨🇳 #China CPI and PPI
🇨🇦 #Canada Jobs Report
…https://t.co/PsrYX4J5ZK

— Christophe Barraud🛢🐳 (@C_Barraud) July 6, 2025

Trump’s new tariff threat

Treasury Secretary Scott Bessent confirmed that letters will be sent out this week informing countries of their tariff rates. However, duties on some nations remain undetermined as multiple deals are still in the works. Bessent hinted at several possible agreements in the coming days, with a focus on clarity with 18 major trading partners. With increased coordination between global markets and allied nations, the world appears more equipped than ever to counter any disruptive policies or threats posed by former U.S. President Donald Trump. Economic observers noted that the swift response from international markets helped mitigate potential volatility. Allied governments quickly issued statements to reassure both domestic and international stakeholders. Financial markets have grown adept at interpreting Trump’s rhetoric, distinguishing between actual policy moves and mere bluster. This differentiation has become a crucial factor in maintaining economic stability. As the world keeps a close eye on political developments, the collective capability to support financial and market stability seems stronger than ever. Financial advisors continue to emphasize the importance of long-term investments, despite short-term market volatility.