USA has withdrawed from another international deal; a large well-known company has gone bankrupt and new tariffs for steel are on-hold - main news from the markets. 

 

USA has withdrawed from another international deal; a large well-known company has gone bankrupt and new tariffs for steel are on-hold - main news from the markets. 

 

US leaving nuclear deal with Iran.

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President of the United Sates Donald Trump has announced his decision for the US to leave nuclear deal with Iran. The decision has already been highly criticized by the EU and former American president Barack Obama who was the one who signed the deal in 2015. Besides America the deal also includes Great Britain, France, Germany, EU, Russia and China and while other have expressed no opinion on the matter the EU officials have already stated the it will remain the part of the treaty.

While taking the floor in White House, Trump called the deal rotten and unable to obstacle Iranian nuclear threat. In the nearest future Trump promised to renew sanctions against Teheran. All the countries which are willing to help Iran with the nuclear program are also going to be subjected to the sanctions.

Back in 2015 when the treaty was signed and Trump wasn’t even thinking about becoming American president he has already criticized the deal calling it “the worst he has ever seen”. The deal got a name of Joint Comprehensive Plan of Action (JCPOA) and was aimed to be the one which would force Iran to stop developing nuclear weapons.

After Trump’s declaration market spectators and traders turned their attention to oil prices, as the moves of the prices could not be predicted, but the surprise was there was the traders as the crude is still at the high notes having remained higher than #70 per barrel.

Gibson going bankrupt.

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A week ago a world-wide known guitar manufacturer who has been earning the name for itself for decades has declared bankruptcy after filing necessary documents to the court. The company appears to be about half a billion of dollars in debt and with the help of the bankruptcy procedure is hoping to get rid of the unnecessary branches and save their business.

The company was founded in 1902 and has released the first ever commercially successful electric guitar by 1930. Real success was brought to the company by Les Paul model which was made out of the whole piece of wood. Gibson has been going through tough times just like a lot of others guitar manufacturers especially now when guitar music has simply gone out of style.

The main problem of the company was that they preferred to issue old guitars with new technologies written into them. Respectively the prices for the models were higher whereas Gibson’s competitors were issuing new models with modest prices.

According to Gibson’s CEO the company is selling about 170 thousand guitars every year around the world with about 40 percent out of them costing more than $2000.

No steel import tariffs for the EU?

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Talks about the new tariffs for the steel which is imported into the USA have been ongoing for months now. Although the hardest hit is supposed to be taken by China other countries will also be subjected to the changes. But the talks are still not finished, so the deadline was pushed by Donald Trump but once again.

Trumps’ administration has stated that the talks about the new tariffs with EU and Canada were prolonged by 30 more days. It was also mentioned that the agreement with Argentina, Brazil and Australia has already been reached. Meanwhile Mexico, EU and Canada were temporarily removed from the agreement.

EU has been very loud about their uncertainty about the new deal. The officials have said that they will not be bullied into the agreement and are nor going to go on with it if they find themselves under threat from the USA. It is also obvious that while the deal is not finalized yet it is already hurting both European businesses and market. Trump is trying to justify the deal by saying that the original agreement wasn’t fair and was overall badly laid.

It was decided in March by Trump to impose new 25 percent tariffs for steel import and 10 percent tariffas for aluminum import.

Stocks, currencies and crude overview.

King World News What Is Happening In Gold Bonds And Crude Oil Is Truly Stunning compressor

Greenback continues to gain for the fourth day in a row while markets are having mixed performance. Oil is higher than $71 per barrel and gold lost the position due to the strong dollar.

Stoxx Europe 600 is at the highest in almost 4 months after gaining 0.2 percent.

MSCI Emerging Market Index went up by 0.05 percent.

MSCI All-Country World went down by 0.05 percent.

MSCI Asia Pacific shed 0.3 percent.

S%P 500 Futures went up by 0.3 percent to the highest in 3 weeks.

Greenback is at the highest in 19 weeks after having gained 0.1 percent.

Euro went lower by 0.2 percent - $1.1845.

Yen fell 0.5 percent – the largest drop in 2 weeks – 109.68 yen per dollar/

Pound lost 0.1 percent - $1.3537.

WTI oil gained 2.8 percent - $70.99 per barrel.

Gold lost 0.6 percent - $1.306.30.