Trump sends tariff notices to 14 countries; suspension extended to August 1; U.S.–China relations in focus.

Market Performance:

U.S. equities declined: Dow –0.94%, Nasdaq –0.92%, S&P 500 –0.79%

Chinese ADRs and Hong Kong stocks mixed

European markets varied; Asia and emerging markets generally higher

Here’s today’s SoSoMacro Recap — spotlighting the key signals driving markets at this moment:

1. Trade Policy: President Trump has issued tariff notification letters to 14 nations and signed an executive order extending the reciprocal tariff pause through August 1. He noted, however, that the new deadline is “not 100% certain”. The EU confirmed progress toward a trade agreement that could result in an average tariff rate below 10%.

2. U.S.–China Relations: Trump has threatened a further 10% tariff on countries aligning with the BRICS bloc. Treasury Secretary Bessent said he will meet with China’s finance minister in the coming weeks.

3. China–EU Trade: Tensions between China and the EU appear to be escalating, as the EU has delayed the signing of a joint climate statement with China.