Oil Prices Plummet as US-Canada Trade War Escalates

Oil prices plummeted on Monday, sending Brent crude below $90 per barrel. This sharp decline sparked a significant rise in Wall Street and led to strong gains in Treasuries as investors digested recent news on U.S. bond buybacks and the escalation of the U.S.-Canada trade war.

The trade spat between the two countries has cast a shadow over the entire USMCA trade agreement, but its implications extend beyond North America, with none being particularly positive.

Germany's economy appears to be gaining momentum, with growth in Q2 faster than initially estimated and business morale hitting its highest level in a year. This is driven by fiscal stimulus, strong exports, consumer spending, and private sector capex.