As the U.S. and China continue to raise the tone of their escalating trade war, global markets took a major hit, with major exporting nations being particularly affected. U.S. President Donald Trump decided to slap tariffs on USD 200 billion of Chinese goods – on top of the USD 50 billion previously announced. On the other side of the Pacific, Beijing shows no sign of backing down, promising a reaction of equal scale.
On a day when stock markets operated on a negative, Brazil was an exception: São Paulo’s Ibovespa index closed the day up by 2.26 percent, and the U.S. Dollar remained stable – going up by only 0.10 percent, at BRL 3.745.
But this positive result is unlikely to last.