The market sentiment is mixed. Let’s look at most interesting movements on the market today.
Mexico’s ready to impose a 20% tariff on pork from the USA
Mexico is on the verge of imposing a 20% tariff on imports of pork from the United States. That’s what two officials in the industry who were already familiar with the Mexican government’s plans informed. The given decision should be regarded as a response to Donald Trump’s intention to impose import tariffs on aluminum and steel.
The previous week Mexico told the retaliatory measures are going to impact pig ham as well as shoulders from American suppliers that account for approximately 90% of the annual import value of nearly $1.07 billion.
After debates Eriberto Hernández, the president of the Mexican Pork Producers Association told that they mean exactly 20% (tariffs) for (pork) hams as well as scapula, frozen and fresh, with bones and boneless.
The Mexican government couldn’t instantly respond to the request for comments on the tariffs and the gathering.
Hernandez told that he actually underpins the decision of his country and he isn’t assured that it’s going to provoke higher prices for pork in Mexico, because this country has a lot of alternatives to American suppliers.
The measures taken turned out to be a pure response to the Trump administration's decision the previous week to impose import tariffs on aluminum and steel explaining it by the fact that competition from other nations, including Mexico, directly threatens the national security of the United States.
The US intention to move forward on the issue of tariffs definitely complicated the talks with Canada and Mexico on the revision of the North American Free Trade Agreement.
The previous year, Mexico imported approximately 650,000 tons of pig ham and chicken legs worth nearly $1.07 billion, according to the government data.
The overall volume of pork imports to this country last year accounted for 840,000 tons.
The Reserve Bank of Australia will publish its statement and announce the interest rate on July 7, at 7:30 MT time.
The overall market sentiment was mixed after the USA recorded the largest increase in virus cases since May 9. The data even offset the better-than-expected NFP.
The risk-on tone is back on the market again. Let’s look at main trading opportunities.