Start Trading Now Get Started
Affiliate Disclosure
Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

Forex Today: Mexico and Canada Temporarily Cave in to Trump Tariff Pressure

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

Mexico and Canada made enough concessions to US pressure for the US to suspend the new tariffs for one month, a wider deal may now be negotiated.

Top Forex Brokers

1
Get Started 74% of retail CFD accounts lose money Read Review
  1. Market news remains dominated by tariffs. The USA implemented new tariffs against Mexico (25%), Canada (25% except energies at 10%), and China (10%). The new tariffs produced strong movements in favor of the US Dollar against the Canadian Dollar and the Mexican Peso. However, yesterday, first Mexico and then Canada announced temporary deals with the Trump administration, which has now agreed to suspend the tariffs for one month while negotiations are conducted to explore the possibility of a wider deal, which would see the tariffs dropped in return for concessions which the US administration sees as in the interest of the USA. The news of these temporary deals saw both the Loonie and the Peso make strong gains which more than recovered all their losses made since the start of this week. Since the weekly open:
    1. USD/CAD is lower by 1.8%.
    2. USD/MXN is lower by 1.8%.
  2. China reacted not by cutting a deal, but by imposing its own new tariff on new US imports, so the new tariffs between these two nations look likely to stand, which seems to have knocked global stocks and the price of crude oil a bit. It is worth nothing that the tariff dispute between the USA and Mexico and Canada was hitting global stock markets quite hard, with the benchmark S&P 500 Index down by over 160 points at one point during the trading day, before stock markets mostly recovered their losses later on news of the deals.
  3. President Trump is still threatened to impose new tariffs against the EU, although the EUR/USD currency pair ended yesterday higher on the day.
  4. Almost all risky assets lost value yesterday before recovering strongly on news of the tariff deals.
  5. Gold traded yesterday at an all-time high above $2,830 per ounce.
  6. Coffee futures continued their long-term bullish trend yesterday, again rising to a new record high price. Trend traders will be interested to be long of Coffee. Although Coffee futures can be expensive, retail traders and investors can gain exposure to Coffee via the COFF ETF, although US taxpayers should beware this is probably a PFIC for tax purposes
  7. Corn futures remain with a valid long-term bullish trend, and most trend traders will want to be positioned long here.
  8. Yesterday's release of US ISM Manufacturing data was a little higher than expected.
  9. There will be releases later today of:
    1. US JOLTS Job Openings
    2. New Zealand Unemployment Rate data

Ready to trade our Forex daily forecast? We’ve shortlisted the best forex broker list for you to check out

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

Most Visited Forex Broker Reviews