Trump administration wants to put tariffs on German, French, English and Spanish exports to the US, amounting $3100 million. Tomorrow, US opens a query period lasting one month, until July 26. These tariffs could be set as 100% of the produce value. A new trade war has been started due to Airbus subsidies and revived taxes topic to american big tech companies such as Google, Facebook or Amazon. If this $3100 million see green light, Euro could be dismantled to 1.10, leaving back that sideways movement started on June 8. Looks like America has realised Euro is gaining strength (maybe too much for their taste) against major pairs since May 14.
ノート
Bloomberg News provided today a more relaxed sentiment on the trade war, in my opinion. The "Google tax" would be applied progressively and at the beginning it would only affect those companies earning €750 million of annual revenues. This could make the euro boost continue.
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