Breaking News: Global Trade and Economic Updates—July 23, 2025
The United States: President Trump continued to criticize the Federal Reserve Chairman Jerome Powell, suggesting interest rates should be lowered by at least 3 points, possibly more. Meanwhile, U.S. Treasury Secretary Scott Bessent has called for an investigation into the Federal Reserve’s recent renovations, though Powell’s latest speech did not refer to these concerns.
So what did Powell focus on last night?
→ none on monetary policies, economic conditions, or inflation.
→ Focus on banking system stability, such as higher-quality capital, less systemic risk, and stress tests.
Trade Agreement
Philippines: Trump hailed a new trade agreement with the Philippines, imposing a 19% tariff, down from 20%, on Philippine goods, while eliminating U.S. tariffs (0% tariff on the U.S., open market). The deal also includes military cooperation.
→ Positive sentiment for investors, stock market tonight→ possibly disfavor gold price.
Indonesia: In a Truth Social post, Trump celebrated a trade pact with Indonesia, with 19% tariffs on Indonesian goods and 0% on US goods. Furthermore, Indonesia will also supply critical minerals to the U.S., as well as sign major deals for Boeing aircraft, American farm products, and energy, strengthening bilateral ties.
→ Positive deal for automakers, tech companies, manufacturers, and agriculture industries → positive for the stock market tonight.
US-China: According to the Swedish PM, there will be a continued trade negotiation between the US and China early next week in Stockholm, primarily focusing on the trade deal.
Japan: Early this morning, Trump also announced a “massive deal” with Japan, which will set 15% tariffs on Japanese imports while seeing $550 billion pulled into the US. This 15% comes lower than the initial tariff rate of 25% in the tariff letter, which could be considered very optimistic for everyone, particularly when they open to trade on cars and trucks, rice, and certain other agricultural products.
–> Nikkei rose in early Asian market.
Canada: Canadian Prime Minister Mark Carney announced ongoing positive efforts to secure a trade deal with U.S. President Donald Trump before the deadline of August 1st. In fact, He is actively preparing measures to support workers in the steel and softwood lumber industries, which have been affected by President Donald Trump’s high tariff policies, although not much progress has been made so far.
