Overview

• President Trump’s 30% tariffs on EU imports remain set to take effect August 1 as the European Commission draws up retaliation lists targeting planes, cars and bourbon.
• The CAC 40 fell 0.54% to 7,766.21 as investors digest Prime Minister Bayrou’s €43.8 billion austerity package that freezes social benefits, delays pension revaluations and scraps two public holidays.
• Wall Street closed mixed with the Nasdaq up 0.18% on hopes from Nvidia’s resumption of advanced AI chip sales to China while the S&P 500 fell 0.40% and the Dow lost 0.98%.
• US consumer inflation ticked up to 2.7% in June, surpassing May’s 2.4% and pushing the 10-year Treasury yield to 4.48% as Fed rate-cut expectations recede.
• Trump secured a trade agreement exempting Indonesia from tariffs above 10% and has struck similar deals with the UK and Vietnam, although broader reciprocal duties loom for other partners.