Dax appears robust despite US tariff threats
US President Trump threatens EU with trade restrictions following plans to associate Canada; Oil prices continue to fall.
Quick Look
- Despite US tariff threats from Donald Trump against the EU due to Canada's planned association, the DAX rose by 0.6 percent.
- Market participants are watching Mark Carney's speech in the EU Parliament as falling oil prices support prices.
AI-generated summary
Why It Matters
The EU plans to admit Canada as its first associated member. President Trump sees this as a potentially hostile act.
Dusseldorf. A tariff threat from US President Donald Trump against the EU cannot initially affect the leading German index on Thursday. The DAX is up around 0.6 percent at 25,686 points. On Wednesday he had gained around half a percent to 25,537 points.
Trump responded to the EU's push to make Canada the first "associated member" of the European Union with a harsh threat. If he perceived it as a “hostile act,” he would impose high tariffs or stop trade with Europe in many areas, Trump warned reporters. Investors are therefore turning their attention to Canadian Prime Minister Mark Carney, who will speak to the European Parliament in Strasbourg this morning.
The recent driving force behind the rising prices was a fall in the price of oil. And prices continue to fall on Thursday too. North Sea Brent crude oil for delivery in November costs around $103 per barrel (159 liters), 2.5 percent less. The US light oil WTI for delivery in October is also discounted by 1.9 percent to $100.50. Both contracts had already fallen by around three dollars on Wednesday.
What to Watch
AI outlook — possibilities, not facts
Mark Carney speaks to the European Parliament in Strasbourg.
Very likely · Within hours
Open Questions
- How will the EU respond to the tariff threats?
- What specific content will Mark Carey's speech have?
