Markets turned negative overnight, as tensions rose in the Middle East, while Trump threatened further tariff imposts of 12.5%, on more than 60 Countries. These Countries include NZ and Australia and is because they have not addressed commitments to eliminating ‘forced labour’. Share markets turned negative, bond yields edged upwards and the US Dollar safety was sought. The EUR slipped below 1.1600, while the GBP fell back to 1.3400.Commodity currencies were hit by the rising reserve, with the AUD falling to 0.7130, while the NZD plunged to 0.5860. These Countries were impacted by the threat of new US tariffs and rising oil prices. Australian GDP missed expectations, coming in at an annualised 2.5%, but remains positive.
