Trump Tariffs to Take a Toll

The U.S. cannot avoid the damage from its own tariffs

Highlights

• The U.S. cannot avoid the damage from its own tariffs

• In the absence of fiscal support, a recession now seems likely

• Bond yields quickly approach a critical juncture

• Trouble is coming for the Canadian economy and the loonie

Key Takeaways

• Tariffs Will Push Auto Sector to the Brink: President Trump went ahead with the 25% tariffs against Canada and Mexico today. The North American Auto sector is about to head into the abyss and the space has powerful multiplier effects, both in the goods and services sectors.