Dxy

• President Trump threatened to impose heavy tariffs on Europe after the region granted observer status to Canada. • Trump stated that the war in Ukraine is the toughest conflict to end and is the primary factor driving up diesel prices. • These trade threats create immediate economic uncertainty for European markets and potential price volatility for energy consumers.

• The Federal Reserve unanimously raised interest rates by 25 basis points in its most recent meeting. • Median projections from the Fed indicate one more rate hike is expected by the end of the year before rates stay on hold through 2027. • US stocks finished lower and the US Dollar Index held onto gains as Chair Warsh reiterated a commitment to price stability.