Asia Colour - 2 Apr 25
1/ It's U.S. Liberation Day—and Trump is expected to drop a fresh round of tariffs tonight. Markets got a glimpse of clarity yesterday, but uncertainty is back on the table.
Brinksmanship is back. But is this really “The Art of the Deal”?
2/ The new tariffs look broad—targeting China, Japan, Canada & the EU. Rather than concede, global players are closing ranks.
Just yesterday, China, Japan & Korea met to explore deeper regional trade ties. A new axis of cooperation?
3/ Markets don’t like it. Risk assets are soft, and until the dust settles, expect continued pressure.
That said, we may see ex-U.S. exceptionalism as global indices push higher—leaving the U.S. sidelined by its own policies.
4/ The Fed’s in a bind. Markets are pricing 2.5 cuts for 2025—but weak consumer data + potential tariff-induced inflation = stagflation risk.
In that case? A rate hike may be more likely than a cut.
5/ Crypto remains heavy.
🔹 $BTC lacks conviction
🔹 $ETH holds $1.8k support
🔹 Altcoins down 90% YTD, some -30% just this week
Light positioning could support a grind higher, but without macro support, we’re not chasing upside.
Read more: www.qcpgroup.com/insights/asia...
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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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