From the man himself:
“The United States will work closely with Iran, which we have determined has gone through what will be a very productive Regime Change! There will be no enrichment of Uranium, and the United States will, working with Iran, dig up and remove all of the deeply buried (B-2 Bombers) Nuclear “Dust.” It is now, and has been, under very exacting Satellite Surveillance (Space Force!). Nothing has been touched from the date of attack. We are, and will be, talking Tariff and Sanctions relief with Iran. Many of the 15 points have already been been agreed to. Thank you for your attention to this matter. President DONALD J. TRUMP”
One can argue that a lot of those points made by Trump are still very much up in the air. That especially the idea of Iran giving up the nuclear battle just like that, not least with the fact that they still have some leverage via control over the Strait of Hormuz. And also the part of 15 points to the peace deal, with Iran having pointed out that it should be 10 points instead. So, make what you will of the comments.
This screams China trade deal all over again, where there are always two sides to the interpretation of things.
Market optimism continues to pick up with the dollar tumbling lower alongside bond yields. Meanwhile, equities are continuing to push up with major indices in Europe up over 4% with the DAX even bordering on 5% gains. S&P 500 futures are also at the highs for the day with gains of 2.8% currently.
EUR/USD is climbing by nearly 1% now to creep just above 1.1700 while AUD/USD is also up over 1% to be at 0.7050 currently.
In turn, oil prices are slumping hard still with WTI crude down over 15% on the day to $93.65 now.
Trump also adds that:
“A Country supplying Military Weapons to Iran will be immediately tariffed, on any and all goods sold to the United States of America, 50%, effective immediately. There will be no exclusions or exemptions!”
So does that mean we see immediate 50% tariffs on China and Russia then? Hmm.
This article was written by Justin Low at investinglive.com.