Forex
Trump's Tariffs Spark New Trade War with Canada
US President Donald Trump's latest tariffs on Canadian goods have sparked a new trade war between the two nations, threatening to inflict real harm on the US economy.
The 50% tariffs took effect on Saturday, prompting Canada to threaten retaliatory measures against the US, targeting sectors including agriculture, steel, and electronics.
Scott Lincicome, vice-president of general economics at the Cato Institute, warned that volatility has pervaded Trump's entire second term, with his ever-shifting tariffs causing uncertainty and roiling Wall Street.
The new clash could weigh heavily on businesses that transact across the border, affecting prices and leading to 'slightly less investment, slightly less economic activity', according to Lincicome.