Markets prepare for turbulence as tariffs, employment data, and French budget loom.
Global investors are preparing for weeks of heightened market turbulence, stirred by a succession of pivotal events: the July 9 U.S.–EU tariff deadline, a July 14 French budget vote, and an August 12 U.S.–China trade decision.
Asset classes from gold to corporate credit may see sharp swings as geopolitical and economic dynamics evolve.
Analysts point out that current asset pricing may not fully account for the risk premium tied to these events. While some anticipate last-minute tariff reprieves, a standstill or escalation could spark rapid shifts—especially if tariffs are reinstated.
The dollar, U.S. Treasuries, and gold are experiencing volatility. Gold is up over 25 percent year‑to‑date, but any tariff relief might trigger profit-taking. Meanwhile, the near-term U.S. employment data could overshadow trade developments in influencing investor strategy.
European markets are tense too: France’s upcoming budget vote could unsettle government bond markets, and Germany’s planned stimulus package adds further complexity . In the U.K., fiscal uncertainty lingers post‑Reeves affirmation.
Investors are bracing for marked swings across global markets.
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