Bitcoin Hits Record, Loonie falls on 35% Canada tariff

The Canadian dollar dropped after President Trump announced a 35% tariff on all Canadian goods from August 1, briefly unsettling markets before a US official clarified that items under the USMCA may be exempt. Wall Street and EUROSTOXX futures initially fell around 0.8% but later pared losses to about 0.3%, while the dollar gained 0.3% against the loonie and 0.6% versus the yen. Bitcoin hit a record high, reaching back over its prior peak at $113,000 as risk sentiment showed resilience despite new tariff measures.

Equities

The FTSE 100 rose 1.2% to close at a record high of 8,975.66 on Thursday, lifted by gains in the mining and healthcare sectors. Stronger prices for iron ore, aluminium, and nickel pushed the industrial metal mining index up 3.7%, while precious metal miners also advanced on the back of a weaker dollar and a small rise in gold.

AstraZeneca climbed 2.6% and GSK added 2.1%, with investors showing limited concern over the threat of 200% US tariffs on pharmaceuticals. WPP edged up 1.1% after naming board member Cindy Rose as its new CEO, a day after the shares fell nearly 19%. Jupiter rose 10.7% after announcing plans to acquire CCLA Investment Manager, supporting further consolidation in the UK asset management sector.

In the US, the S&P 500 gained 0.27% to close at 6,280.46, its fifth record finish since late June. The Nasdaq rose 0.09% to 20,630.67, also a record close, while the Dow added 0.43% to end the session at 44,650.64, just under its all-time high.

Nvidia added 0.7%, pushing its valuation above $4 trillion for the first time. Despite this, the broader technology sector slipped 0.1%. Tesla was the S&P 500’s biggest gainer, rising 4.7% after confirming its annual shareholder meeting will be held in November, following calls from investors to set a date.

Delta Air Lines jumped 12% after forecasting third-quarter and full-year profits above Wall Street expectations. The update lifted the broader airline sector, with United Airlines up 14.3% and American Airlines up 12.7%.

The Dow Transportation Index hit its highest level since February. WK Kellogg surged 30.6% following reports of a $3 billion takeover offer from Ferrero. In contrast, Conagra Brands dropped 4.4% after cutting its annual profit forecast, citing higher input costs linked to tariffs on imports from China and metals used in products such as Hunt’s ketchup.

Forex & Commodities

The US dollar rose 0.2% to 97.77 against a basket of major currencies on Friday and is set for a 0.8% weekly gain, its strongest since February. The move came after President Trump announced a 35% tariff on Canadian imports, along with plans for blanket tariffs of 15–20% on most trade partners.

The Canadian dollar fell more than 0.5% to 1.3726 per dollar, while the euro dropped 0.25% to $1.1671 and is down nearly 1% for the week.

The Japanese yen is heading for a weekly fall of more than 1% after being hit by a 25% US tariff earlier this week. The Brazilian real is set to lose around 2% this week, its worst performance since February, after the US threatened a 50% levy on Brazilian goods.

Gold rose 0.3% to $3,332.73 per ounce in early Friday trading, supported by the latest US trade measures. However, the stronger dollar limited gains. Silver added 0.4% to $37.19, while platinum slipped 0.3% to $1,357.18. Palladium edged up 0.1% to $1,142.70.

Brent crude fell 2.2% to $68.64 a barrel, while US West Texas Intermediate dropped 2.65% to $66.57. Prices were pressured by concerns over Trump’s growing list of tariff threats and the potential impact on global growth. Traders are also watching for further supply increases from OPEC+ in September.