Trade conflicts are dominating markets again overnight, with India and Switzerland in the spotlight, while secondary sanctions loom large. Secondary sanctions will apply to those who trade with Russia, namely China, India and other BRICS nations. The other threats to markets are specific industry targeted tariffs, which are likely to include Chips and Pharmaceuticals. The uncertainty created, has put the brakes on equities, while the US Dollar remains volatile. The EUR held around 1.1550, while the GBP pushed back to 1.3300.Commodity currencies are under pressure, with the AUD drifting back to 0.6450, while the NZD has again surrendered 0.5900. NZ relations with the US have come under the spotlight, as elevated tariffs have been imposed, with little mention from the Government. Trade data will be coming and reflect the rocky road of trade since ‘Liberation Day’.
