Trump has imposed the highest tariffs in a century! The global market is tragically slaughtered

The US dollar (USD) suffered a heavy blow against its main avatradescn.competitors on Thursday as the market evaluates how tariffs on U.S. President Donald Trump affect economic activity. The European Central Bank (ECB) will release accounts of monetary policy meetings, and the U.S. economic calendar will release weekly initial jobless claims and March ISM Services Purchasing Managers Index data later in the day.

The Trump administration announced on "Liberation Day" that it will impose a benchmark tariff of 10% on all goods imported to the United States, effective from April 5. The United Kingdom, Australia and Saudi Arabia will be one of the countries that will only face this benchmark tax rate. Canada and Mexico will be exempt from this 10% increase. Officials will also impose higher reciprocity tariffs on about 60 countries they call the "most serious violation" that will take effect on April 9. Under this new regime, the EU, China and Japan will face tariffs of 20%, 54% and 24% respectively. In addition, Trump confirmed that they will impose a 25% tariff on all foreign-made cars.

The U.S. dollar index fell 0.5% on Wednesday after the tariffs were announced and continued its decline during Thursday's Asian trading session. As of press time, the US dollar index fell by more than 1% on the day, close to 102.50.

Basic Forex Market Quotes:

EU avatradescn.commission President Ursula vonder Leyen responded to U.S. President Donald Trump's reciprocal tariffs earlier Thursday, saying it was a major blow to the world economy. “We are preparing further packages to protect our interests,” she added. The euro/dollar is ready to go, with trading in Europe at its highest level since early October 1.0960 above.

GBP/USD rose, trading above the highest level in six months of 1.3100.

The US dollar/Canadian dollar fell more than 0.5% on the day, trading below 1.4200, while the US dollar/Mexican peso fell about 0.7% on the day. Canadian Prime Minister Mark Carney said late Wednesday that the country will use countermeasures to avatradescn.combat Trump's tariffs

The dollar/yen fell sharply and traded around 147.00, with the daily line falling nearly 1.5%.

Earlier in the day, data from China showed that the Caixin service industry purchasing managers index rose from 51.4 in February to 51.9 in March. China's Ministry of avatradescn.commerce reiterated on Thursday that it firmly opposes the imposition of tariffs by the United States and will "resolutely take countermeasures to safeguard its rights and interests." The Australian dollar/dollar struggled to benefit from the widespread selling pressure around the US dollar, and rose slightly to around 0.6300 on the day.

Bulle market fundamentals:

Gold prices found some support around the $3,116 area in the first half of the European session and now appear to have stopped the intraday pullback from the all-time high that hit earlier this Thursday.

Analysis of major currency trends:

Euro: Euro/USD breaks through 1.0857 resistance level indicates that the correction from 1.0953 has been avatradescn.completed at 1.0731. The intraday deviation rises again. A decisive breakthrough of 1.0953 will confirm the recovery of the entire rebound from 1.0176. The next target is a 61.8% forecast of 1.0358 to 1.0953 from 1.0731 to 1.1099. As long as the 1.0731 support level is held, this will now be the most popular situation in case of a pullback.

GBP: GBP/USD rebounded from 1.2099 and recovered from the 1.3013 resistance level. The intraday deviation rises again. The next target is a 61.8% forecast of 1.2248 to 1.3013 from 1.2878 to 1.3351. Currently, as long as the 1.2878 support level is held, the outlook will remain bullish in case of a pullback.

Yen: The intraday bias of the US dollar/yen fell again, falling below 148.69, and you should see a retest of the low of 146.52 next. A resolute breakthrough will resume the entire decline from 158.86. The next target is a 61.8% forecast from 151.20 to 143.57 to 158.86 to 146.52. On the plus side, the support level above 148.69 will first turn into an intraday bias neutral. But the rebound should be limited below the 151.20 resistance level, resulting in another decline.

The above content is all about "[Aihua Ava Foreign Exchange Market Analysis]: Trump has imposed the highest tariffs in a century! The global market has been tragically washed away" was carefully avatradescn.compiled and edited by the Avatrade Foreign Exchange editor. I hope it will be helpful to your transactions! Thanks for the support!

In fact, responsibility is not helpless, it is not boring, it is as gorgeous as a rainbow. It is this colorful responsibility that has created a better life for us today. I will try my best to organize the article.