Global stocks mostly fall as Trump ramps up tariff threats

Global stock markets mostly retreated on Friday (July 11, 2025) as U.S. President Donald Trump ramped up his trade war, threatening a higher blanket tariff and a 35% levy on Canada.

Mr. Trump dampened earlier optimism by firing off more than 20 letters to governments outlining new tolls if agreements aren’t reached by August 1.

Bitcoin meanwhile pushed on with its climb, reaching an all-time high above $118,000.

The dollar and oil prices both gained.

“The optimism from earlier in the week… is giving way to fears of an impending tariff surprise as the weekend approaches,” said Jochen Stanzl, chief market analyst at CMC Markets.

In Europe, Paris and Frankfurt stock markets each dropped around 1%.

Investors were awaiting news of Trump’s new tariff level targeting the European Union, with a letter expected by the end of the week.

London’s FTSE 100 and the pound retreated also after data showed the UK economy unexpectedly shrank in May — its second consecutive monthly decline.

That followed a mixed session in Asia where Hong Kong rose, Tokyo fell and Shanghai flattened by the close.

Mr. Trump dialled up his trade war rhetoric Thursday, warning that Canada faced a 35% tax, while other countries would be handed blanket tariffs of up to 20 percent, from the current 10 percent.

That came after he outlined plans to impose 50-percent tariffs on copper imports, while threatening 200 percent levies on pharmaceuticals, and hit Brazil with a new 50 percent charge.

The moves are the latest by the White House in a campaign it says is aimed at ending decades of the United States being “ripped off”.

Mr. Trump’s initial bombshell announcement of tariffs on April 2 sent markets into turmoil until he paused them for three months and the latest measures have had less impact.

All three main indices on Wall Street rose Thursday (July 10, 2025), with the S&P 500 and Nasdaq hitting fresh peaks, hours after the FTSE 100 in London achieved an all-time high.

Shares in BP jumped around 2% in London on Friday after the energy giant said it expected to report higher oil and gas production for its second quarter. But the FTSE 100 was down overall nearing midday.

Key figures at around 1040 GMT

• London – FTSE 100: DOWN 0.6% at 8,923.68 points

• Paris – CAC 40: DOWN 1.0% at 7,825.22

• Frankfurt – DAX: DOWN 1.1% at 24,193.54

• Tokyo – Nikkei 225: DOWN 0.2% at 39,569.68 (close)

• Hong Kong – Hang Seng Index: UP 0.5% at 24,139.57 (close)

• Shanghai – Composite: FLAT at 3,510.18 (close)

• New York – Dow: UP 0.4% at 44,650.64 (close)

• Euro/dollar: DOWN at $1.1692 from $1.1698 on Thursday

• Pound/dollar: DOWN at $1.3540 from $1.3576

• Dollar/yen: UP at 146.80 yen from 146.19 yen

• Euro/pound: UP at 86.36 pence from 86.16 pence

• Brent North Sea Crude: UP 0.6% at $69.06 per barrel

• West Texas Intermediate: UP 0.7% at $67.04 per barrel