|

EU-Canada Trade: Europe’s answer to Trump’s trade policy - Bloomberg

The European Parliament was on the wires, via Bloomberg, as it approved a landmark free-trade agreement with Canada, shoring up Europe’s market-opening clout in the face of a booming populist across the continent and roaring Trump’s protectionist tilt.

Key Highlights:

•"This is Europe’s answer to Trump’s trade policy,” said Manfred Weber, German head of the Christian Democrats in the 28-nation assembly.

•The agreement with Canada has become a test case for the EU’s political credibility and commercial heft since Britain voted to leave the bloc.

•The deal, known as the Comprehensive Economic and Trade Agreement, is slated to end 98 percent of tariffs on goods from the outset and 99 percent after seven years (each side plans to dismantle all industrial tariffs and more than 90 percent of agricultural duties).

•The EU says CETA, which took five years to negotiate, would boost the bloc’s economic output by around 12 billion euros ($13 billion) a year and expand two-way trade by about a quarter.

•The EU is Canada’s No. 2 trade partner after the U.S., and Canada is the EU’s 12th-biggest, according to the European Commission.

Author

Jose Ricaurte Jaen

Jose Ricaurte Jaen

Analista independiente

Born in Colón (Panamá). Over the last years, he has been designing currency algorithms for the retail industry.

More from Jose Ricaurte Jaen
Share:

Editor's Picks

EUR/USD struggles aroound 1.1800 as USD stabilizes

EUR/USD stays defensive around 1.1800 in the European session on Thursday. The US Dollar stabilizes, following the recent decline led by tariff uncertainty, capping the pair's upside. All eyes now remain on the US-Iran nuclear talks after ECB President Lagarde's testimony fails to impress Euro bulls. 

GBP/USD drops toward 1.3500 as USD finds fresh demand

GBP/USD falls back toward 1.3500 in the European session on Thursday, snapping its recovery momentum. The pair loses traction as the US Dollar finds fresh demand, as markets turn cautious ahead of the US-Iran nuclear talks. The US trade policy uncertainty also remains a drag on risk sentiment. 

Gold clings to gains amid sustained safe-haven flows ahead of US-Iran talks

Gold sticks to its modest intraday gains through the first half of the European session on Thursday, with bulls still awaiting a sustained move and acceptance above the $5,200 mark before placing fresh bets. 

Stellar: Relief bounce fades as bearish undertone persists

Stellar is trading around $0.16 at the time of writing on Thursday after rebounding more than 8% in the previous day. Derivatives data paints a negative picture as XLM’s short bets hit a monthly high while Open Interest continues to decline.

The one thing everyone is on the lookout for is US action of some sort against Iran

The FX market is minestrone soup these days. It is befuddled by conflicting data, rumors and small stories exaggerated out of proportion, and Trump-generated uncertainty. 

Solana strikes key resistance with double-digit gains

Solana trades at $88 at press time on Thursday, after an 11% upswing the previous day within a broader consolidation range of roughly three weeks. Institutional demand for Solana heightens as US spot SOL Exchange Traded Funds record $30 million of inflow on Wednesday.