Donald Trump’s global trade war has, after so much waiting through early 2025, finally arrived in full force – and Australian shares are dipping 0.59% lower in response.
Listen to the HotCopper podcast for in-depth discussions and insights on all the biggest headlines from throughout the week. On Spotify, Apple, and more.
ASX 200 futures are today pointing to a 48-point decline, with traders Down Under among the “collateral damage” expected after Trump triggered his Canada, Mexico, and China tariffs. All three countries have pledged to retaliate.
Unsurprisingly, Wall Street investors responded by pulling as much as $1.2 billion from the markets. EU markets dropped sharply, while Asia dipped slightly.
The European drop saw the STOXX 600 hit a low not seen since August last year. Interestingly, in Shanghai the composite actually added 0.2%, though it was an outlier.
Also in the mix – and impacting the tariffs war – is Trump and Zelensky’s back and forth. It sounds like Ukraine may now be ready to sign the deal, which would see the Eastern European country share minerals revenue with U.S. powerbrokers.
The next big milestone marker will be when Trump fronts Congress later today.
Back home, and it’s all eyes on Cyclone Alfred – especially for insurance companies. Suncorp (ASX:SUN) boss Steve Johnston warned there’s not been a cyclone like this in “40 or 50 years.” It should make landfall on Thursday or Friday.
Other insurers have also been slugged with drops as Alfred approaches the Queensland coast, with QBE (-2%) and Insurance Australia Group (-1.66%) both lower.
Elsewhere, the Foreign Investment Review Board has reviewed Pacific Equity Partners’ $1.4 billion SG Fleet (ASX:SGF) takeover. One final vote hurdle remains there though: Shareholders have to say “yes” on Friday, April 4.
In the same vein, Botala Energy (ASX:BTE) today landed a major windfall, securing final regulatory approval – as well as exclusive rights and security of tenure – to produce coal bed methane at its Serowe CBM Project in Botswana.
It’s back to back ASX debutants this week too, with MA Credit Income Trust joining the Australian bourse at 11am today, just 24 hours after Dominion Income (ASX:DN1) rung the bell in Sydney. The private debt investor will start at $2/sh and will be looking to raise $300 million. It will go live under the ticker code “MA1.”
In a Star Entertainment (ASX:SGR) update too, it could be in administration by today; the casino operator reportedly has barely enough cash to last through Week 10.
More market news
Pushing in: Ukraine’s minerals are in Trump’s sights. What does this really mean?
Tough trim: Why rate cuts are bad news for the Australian economy
Looking at forex, the Aussie dollar is buying 62.6 US cents.
To commodities (listed in the greenback), where the Brent crude price is the headlining change: OPEC Plus’ decision to revive production under the shadow of Trump’s trade war slugged it 0.8% lower and may slide more.
To that end, Brent Crude is trading at $70.90 today,
Iron Ore is at $100.44 a tonne in Singapore,
Gold is trading up at $2,927 per ounce as traders chase safety, and,
US natgas futures have spiked 5.5%, to $4.34 per gigajoule.
That’s Market Open, I’m Isaac McIntyre, stick with us for HotCopper’s Market Update.