Jul 28, 2025 (Baystreet.ca via COMTEX) --
The self-imposed extension date of the tariff pause set for August 1 is quickly approaching. To lower expectations on an agreement. U.S. President Trump told reporters that Canada (EWC) will probably just pay the tariffs.
Investors should be aware that U.S. importers, not Canada, pay the tariffs. Those buyers decide whether to pass the tariffs to their consumers or to absorb the cost.
He admitted that the White House has "not really" been focused on a deal. In early July, the President announced a 35% tariff on Canada. In that time, Canada's stock index increased by 3.64%, underperforming the S&P 500 (SPY) as of last week. SPY stock gained 4.74% in the last month. The U.S. Dollar index (UUP) fell by around 0.1%.
Stock markets continued to ignore the tariff threats. After the President threatened to impose punitive damages on the drug industry, the sector did not react. Pfizer (PFE), Merck (MRK), and AbbVie (ABBV) shares are examples of those in a stable trading range.
Markets are betting on copper tariffs to hold. Freeport-McMoRan (FCX) is trending higher while Teck (TECK) dropped sharply. The stock lost 12% last week after it lowered its outlook. In Q2, it cut its production outlook for copper and molybdenum. It cited issues with its tailings management facility (TMF) development work.
COMTEX_467625079/2559/2025-07-28T09:42:40
