MONEY MASTER

Summary The US plans to impose  10%–12.5% tariffs on imports from 60 economies , marking a major return to protectionist policy and raising fresh concerns over  global trade tension and inflation . Key Highlights Broad tariff rollout At least  10% tariffs  on allies (EU, UK, Canada, Taiwan, etc.) 12.5% tariffs  on major economies (China, India, Japan, Korea) Based on forced labour investigation Targeting countries deemed to have  weak enforcement Covers sectors like  cotton, palm oil, minerals, seafood Not immediate implementation Subject to  public review (until July 6) Final decision after hearings (from July 7) Section 301 used as legal basis More durable than previous tariffs struck down by courts Potential additional tariffs coming Separate probe on  excess manufacturing capacity Future tariffs may be  stacked on top What Investors Need to Watch 1.  Inflation Risk Back on the Table Tariffs =  higher import costs Likely to...

The Trump administration is preparing a major overhaul of US  steel and aluminum tariffs , with changes that could  raise effective costs for importers  while simplifying compliance for manufacturers. Shift to Simpler but Broader Tariff Structure Under the proposed changes, finished goods containing steel and aluminum will face a  25% tariff on the full product value , replacing the current system. Previously, tariffs of up to  50% applied only to the metal content  within a product. The new approach simplifies calculation but  broadens the taxable base , potentially increasing overall duties. Commodity-grade metals will still face  50% tariffs , maintaining strong protection for domestic producers. The policy is being driven by  Donald Trump ’s push to  reshore manufacturing and strengthen domestic industry . Higher Costs Despite Lower Headline Rates While the headline tariff rate appears lower, the impact is likely the opposite. By app...

US retailers are scrambling to adjust their strategies as tariff rules shift again, adding fresh uncertainty to consumer spending and profit outlooks in 2026. Key Takeaways Tariff rate raised to 15% after Supreme Court ruling Retailers warn of “policy whiplash” complicating planning Companies reluctant to raise prices amid cautious consumers Middle East tensions add new shipping and fuel cost risks Tariff Landscape Shifts Again The US government lifted temporary import levies to  15% , up from 10%, after the Supreme Court struck down emergency duties. Retailers say the bigger problem isn’t just higher tariffs — it’s unpredictability. Key Point: Policy volatility, not just tariff levels, is the main risk for retailers. Companies can plan for higher costs — but not for rules that change week to week. Who Is Most Affected? Abercrombie & Fitch Factored the 15% tariff into forecasts Estimated 70 basis-point hit (~US$40 million) Previously projected US$90 million impact Best Buy Heav...

Malaysia’s benchmark index tumbled sharply on Monday as escalating tensions in the Middle East and renewed US tariff concerns triggered a regional sell-off. Market Snapshot FTSE Bursa Malaysia KLCI  fell as much as 32.33 points, or nearly 2%, before trimming losses to close  down 0.96% at 1,700.21 points . In the broader market: Losers outnumbered gainers  four to one 3.9 billion shares traded, valued at nearly RM4 billion The ringgit weakened in line with regional currencies as the US dollar strengthened following the US-Israel strike on Iran. Key Point: Geopolitical tensions and higher US tariffs triggered broad-based selling pressure on Bursa Malaysia. Tariff Pressure Builds The US implemented a new  10% global tariff  last week, with President  Donald Trump  reportedly pushing to raise it to 15%. The combined impact of tariff uncertainty and geopolitical risks dampened investor sentiment across Asia. Hong Leong Investment Bank noted that the confli...

Key Takeaways CBO cuts tariff-savings estimate by US$1 trillion , highlighting fiscal strain. Tariffs now expected to reduce deficits by  US$3 trillion  over 2025–2035 —  less than the US$3.4 trillion cost  of Trump’s tax cuts. Revision reflects  lower tariff rates , data updates, and bilateral trade deals. US deficit remains entrenched at  ~US$1.8 trillion , debt on track to break historic records. Tariff revenue assumptions may change if Trump proceeds with  US$2,000 dividend checks . A Supreme Court ruling against tariff hikes could further weaken revenue outlook. The US Congressional Budget Office (CBO) has sharply downgraded its estimate of federal budget savings from President Donald Trump’s sweeping tariff hikes, cutting the projected benefit by  US$1 trillion  and raising fresh questions about America’s long-term borrowing trajectory. In a Thursday update, the nonpartisan agency said higher customs duties are now expected to reduce cu...

Singapore’s economy outperformed expectations in the third quarter, but fresh trade data suggests the city-state is not fully out of the woods as global protectionism continues to reshape supply chains. Non-oil domestic exports (NODX) fell  3.3%  in the July–September period, reversing a  7%  rebound in the previous quarter, Enterprise Singapore reported Friday. The decline was driven by a sharp pullback in  non-electronics shipments , which offset gains in the electronics sector. Volatile pharmaceutical exports were among the largest drags. Despite Singapore’s resilience to tariff pressures—thanks in part to its lower US-bound duties relative to regional peers—its deep integration across global supply chains leaves it exposed to geopolitical swings and sector-specific shocks. The impact is already visible: exports to the  US plunged 30.7%  in the third quarter, the steepest drop among Singapore’s top 10 markets. For the first nine months of 2025, NODX...

US President  Donald Trump  said on Friday that trade talks with  Canada  will not resume, contradicting remarks made earlier by  US Energy Secretary Chris Wright , who suggested both nations could soon return to the negotiation table. Speaking to reporters aboard Air Force One, Trump said Canadian Prime Minister  Mark Carney  had apologized over a television commercial opposing US tariffs but confirmed that negotiations remain off the table. “No, but I have a very good relationship. I like him a lot, but you know, what they did was wrong,” Trump said. “He was very nice. He apologised for what they did with the commercial.” Earlier the same day, Wright told reporters at the  Group of Seven (G7)  energy and environment ministers’ meeting in  Toronto  that the US and Canada were working toward reviving talks after discussions collapsed last week. He noted that cooperation on  oil, gas, and critical minerals  remains a priori...

  Key Takeaways U.S. President Donald Trump  confirmed an  extension of the tariff truce with Mexico , calling it a positive outcome for U.S. trade interests. The move provides  temporary relief from higher duties  set to take effect on  Nov 1 , preserving current tariff rates at 25%. Markets see the decision as a  moderating gesture  ahead of Trump’s high-stakes  trade meeting with China’s Xi Jinping  in South Korea this week.  Tariff Truce Extended — Mexico Gets Breathing Room Speaking aboard  Air Force One  en route to South Korea, President Trump said he is satisfied with the  tariff extension deal announced by Mexican President Claudia Sheinbaum . 💬  “I like the extension with Mexico. We’re doing very well with that extension. We get a lot of tariffs — they’re paying a lot of money,”  Trump said. Under the agreement, the U.S. will  delay tariff hikes  on Mexican goods — including autos and ma...

  Key Takeaways US President Donald Trump  arrived in  South Korea , the final stop of his Asia tour, with optimism for a  trade breakthrough with China . Talks with  Chinese President Xi Jinping  are expected to produce a  tariff pause and fentanyl export curbs , lifting  global market sentiment . Despite optimism,  US–South Korea investment negotiations remain deadlocked , and  North Korea’s missile test  added geopolitical tension to the backdrop. Trump’s Asia Tour Reaches Its Climax President Trump touched down in  Busan, South Korea , on Wednesday morning, following stops in  Malaysia  and  Japan . He will meet  South Korean President Lee Jae Myung  in Gyeongju before holding crucial trade talks with  China’s Xi Jinping  on Thursday — a meeting investors are watching closely as a potential turning point in the ongoing  US–China trade war . Trump struck an upbeat tone en route: 💬...

The White House has announced that  all medium- and heavy-duty trucks imported into the U.S. will face a 25% tariff starting Nov 1 , marking a major escalation in President  Donald Trump’s trade protection strategy  aimed at supporting domestic manufacturers. The move — justified on  national security grounds  — targets imports of delivery trucks, buses, and semi-trailers from key trading partners including  Mexico, Canada, Japan, Germany, and Finland , all of which are U.S. allies. Trump said the tariffs are designed to protect U.S. truckmakers such as  Paccar’s Peterbilt and Kenworth  as well as  Daimler Truck’s Freightliner , which he described as “vital to America’s industrial strength.” Key Details Effective date:  November 1, 2025 Tariff rate:  25% on all medium- and heavy-duty truck imports Top import sources:  Mexico, Canada, Japan, Germany, Finland Affected firms:  Stellantis (Ram), Daimler Truck, Volvo Group, Pac...

  Fresh Tariff Wave Announced US President Donald Trump announced new duties on imported wood and furniture, citing national security concerns. Effective  Oct 14 , tariffs will be set at  10% on timber and lumber  and  25% on kitchen cabinets, bathroom vanities, and upholstered furniture . The duties fall under  Section 232 of the Trade Act of 1974 , the same mechanism used for steel and aluminum tariffs. Higher Duties in 2026 The proclamation warns of steeper rates from  Jan 1, 2026 , with tariffs on upholstered wooden products rising to  30% , and kitchen cabinets and vanities surging to  50%  for countries without tariff-reduction agreements with the US. National Security Justification Trump argued that heavy reliance on imports threatens the domestic wood industry, which is critical to  defense infrastructure and supply chains . Wood products are used in housing, storage, transportation of munitions, and even in  missile de...

Market Resilience Meets Fresh Caution U.S. equities have staged one of their strongest rallies since the 1950s, adding nearly  US$15 trillion in market value since April . The S&P 500 has surged  33% , notched  28 record highs in 2025 , and is on track for its best September in more than a decade. But momentum is showing early signs of fatigue. The benchmark slipped for three straight sessions last week — its longest losing streak in a month — before eking out a rebound Friday. Since the Fed’s rate cut on Sept. 17, the S&P 500 is up less than 1%, with weakness spreading beyond Big Tech to consumer, healthcare, and materials stocks. Tariffs, Data, and the Fed in Focus President  Donald Trump’s new tariffs  on imported trucks, drugs, and furniture add another layer of uncertainty just as  Q3 earnings season  begins Oct. 14 with JPMorgan Chase. Markets are already pricing in  8% earnings growth  for the quarter — levels seen only twice i...

GlobalFoundries and Intel Lead Gains U.S. chipmakers surged Friday after reports that the Trump administration is preparing a new policy to  force domestic production to match imports . GlobalFoundries (GFS):  +8.4% Intel (INTC):  +4.4% Both companies have significant U.S. manufacturing capacity, positioning them to benefit from the proposed rules. The Proposal: A 1:1 Ratio for Chips According to the  Wall Street Journal , the administration wants U.S. semiconductor firms to produce  the same number of chips domestically as customers import from abroad . Companies unable to match imports with U.S. output would face  tariffs . The policy is seen as an  extension of Trump’s earlier plan  to impose 100% tariffs on foreign-made chips, with exemptions for firms building in the U.S. Firms would have a grace period to meet quotas while new fabs ramp up. National Security at the Core The White House argues the U.S. must reduce reliance on  foreign su...

Eight months into Donald Trump’s presidency, global markets have been hit with one shock after another — steep tariff threats, an attempted shakeup of the Federal Reserve, and even moves toward US-style state capitalism. Yet instead of tumbling, stocks are at fresh highs, bonds are steady, and growth has kept chugging along. For retail investors, the big question:  Is this resilience real, or just the calm before the storm? Why Markets Are Holding Up Economists at BNP Paribas point to a few key cushions: Easy financial conditions  – Rates are still low, liquidity remains strong. Healthy balance sheets  – Households and corporates aren’t overleveraged. AI-driven productivity  – Optimism around tech investment is offsetting risks. Lower energy costs  – Keeping inflation fears in check. On trade, the nightmare scenario of a global tariff war hasn’t materialized. Instead, the US struck  limited deals  with Europe and Asia. Tariffs are higher, but the costs...