Gold Price Holds Near Record High as Cooling U.S. Inflation Offsets Fed Caution 
Asian Stocks Rise as Softer U.S. Inflation Boosts Sentiment Despite Middle East Tensions 
UBS Boosts China Tech Bets, Adds Kuaishou and Meituan to Focus List 
South Korea Raises Interest Rates to 2.75% as Inflation and Weak Won Drive Tightening 
China Home Prices Fall Again in June Despite Slower Pace of Decline 
Dollar Slides as Softer US Inflation Dims Fed Rate Hike Expectations 
Japan Core Inflation Seen Rising in June, Strengthening BOJ Rate Hike Outlook 
US Inflation Expected to Ease in June, but Fed Rate Hike Risks Persist Amid Middle East Tensions 
US Stock Futures Fall as Netflix Outlook, Chip Selloff and Iran Tensions Weigh on Markets 
IEA Warns China Rare Earth Export Curbs Could Threaten $6.5 Trillion in Global Production 
Asian Currencies Hold Steady as Middle East Tensions Offset Weaker US Dollar 
Port of Los Angeles Posts Record June Cargo Volume as Importers Rush Ahead of U.S. Tariffs 
US Stock Futures Hold Steady as Soft Inflation Data Eases Fed Rate Hike Fears 
Gold Prices Head for Biggest Weekly Loss Since June as Fed Rate Outlook Weighs 
Oil Prices Rise as U.S. Strikes on Iran Raise Strait of Hormuz Supply Fears 
Asian Stocks Rally as Cooling U.S. Inflation Boosts Fed Rate Cut Hopes 
U.S. Imposes 25% Tariff on Select Brazilian Imports After Section 301 Trade Investigation 
The U.S. trade deficit surged in December as imports hit a record high, driven by businesses rushing to secure foreign-made goods ahead of potential tariffs. The deficit jumped 24.7% to $98.4 billion, the highest since March 2022, as imports climbed 3.5% to $364.9 billion, largely due to increased purchases of finished metals and computers.
The Commerce Department reported significant deficits with China, Mexico, and Canada, all of which have faced tariff threats. President Trump suspended a 25% tariff on Mexican and Canadian goods until next month, while a 10% tariff on Chinese goods took effect Tuesday. Economists suggest businesses may continue stockpiling imports, keeping the deficit elevated.
Capital Economics' Thomas Ryan noted that despite expectations for an export rebound, the trade gap will likely remain wide. Goods imports soared 4% to $293.1 billion, with industrial supplies and materials rising by $10.8 billion, largely from Switzerland. Some analysts believe this surge isn’t solely due to tariff concerns.
Exports fell 2.6% to $266.5 billion, with goods exports declining 4.2%, the most since May 2020. Capital goods, industrial supplies, and consumer goods saw sharp declines, contributing to an 18.2% increase in the goods trade deficit to a record $123.0 billion.
The Institute for Supply Management (ISM) reported that businesses are worried about rising costs and supply shortages from tariffs. Meanwhile, U.S. Treasury yields fell, and Wall Street stocks climbed.
Despite the trade deficit’s impact, the U.S. economy grew at a 2.3% annualized rate in Q4, down from 3.1% in the previous quarter. Analysts see little risk of major GDP revisions but warn that prolonged tariff uncertainty could disrupt economic momentum.
