Current Affairs, Business, Economy, Lifestyle, News and Analysis
The thrust of the Trump Doctrine is not to allow anti-democratic behaviour to get in the way of doing business.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Free Malaysia Today
2 hours ago
- Free Malaysia Today
Dollar set to end week on upbeat note, buoyed by safe-haven appeal
The US dollar index, which compares the US currency against six others, is poised for a 0.5% climb this week. (Freepik pic) NEW YORK : The US dollar was set to log its biggest weekly rise in over a month today, as uncertainties about a raging war in the Middle East and the repercussions it could have on the global economy fuelled an appetite for traditional safe havens. The dollar index comparing the US currency against six others is poised for a 0.5% climb this week. The conflict between Israel and Iran shows no signs of subsiding and market participants are nervous about potential US intervention in the region. The two countries have been in a week-long air battle as Tel Aviv seeks to thwart Tehran's nuclear ambitions and cripple the domestic government. The White House said US President Donald Trump will make a decision within the next two weeks about whether to join Israel in the war. The resultant recent spike in oil prices added a new layer of inflation uncertainty for central banks across regions, which have been grappling with the potential repercussions of US tariffs on their economies. 'Rising oil prices introduce inflation uncertainty at a time when growth is weakening,' said Charu Chanana, chief investment strategist at Saxo. 'That makes central banks' jobs much harder – do they ease to support growth or hold back to avoid fueling inflation? 'Most seem to be prioritising growth concerns for now, assuming that crude gains may not be sustained,' Chanana said. In early Asia trading, the euro inched up 0.16% to US$1.151, while the dollar weakened against the yen by 0.17% to 145.23 per dollar. Also underpinning the yen's gains was hotter-than-expected inflation data that kept expectations for upcoming interest rate hikes alive. Furthermore, minutes from the Bank of Japan's policy meet this week showed policymakers agreed on the need to keep raising rates that are still at very low levels. The Swiss franc was flat at 0.816 per dollar today but was set for its largest weekly drop since mid-April after the country's central bank lowered borrowing costs. Swiss rates now stand at 0%. Currencies positively correlated to risk sentiment such as the Australian and New Zealand dollars were steady, while sterling was little changed at US$1.34. Although the Federal Reserve earlier this week stuck with its forecast of two interest rate cuts this year, chair Jerome Powell cautioned against giving that view too much weight. Analysts saw the central bank's delivery as a 'hawkish tilt' further underpinning the greenback's gains this week. Investors were, however, taken aback by an unexpected 25 basis point interest rate cut by Norges bank and the krone is down by more than 1% against the dollar this week. Though geopolitical tensions were the main market focus this week, concerns about tariffs and the impact they may have on costs, corporate margins and overall growth are ever-present. These concerns have weighed on the dollar, which is down about 9% this year. Trump's early July tariff deadline looms and sources said that European officials are increasingly resigned to a 10% rate on 'reciprocal' tariffs being the baseline in any trade deal between the US and the EU. Elsewhere, the offshore yuan was little changed at 7.185 after China kept benchmark lending rates unchanged as expected.
Free Malaysia Today
2 hours ago
- Free Malaysia Today
Nato looks to thrash out spending deal under US pressure
NATO chief Mark Rutte proposed 3.5% GDP for core military spending and 1.5% for security infrastructure by 2032. (EPA Images pic) BRUSSELS : US defence chief Pete Hegseth will seek on Thursday to drive home a deal on ramping up Nato defence spending that can satisfy President Donald Trump at a summit later this month. The volatile US leader has demanded that alliance members agree to boost defence spending to 5% of their GDP at the June 24-25 meeting in The Netherlands. Nato chief Mark Rutte has put forward a compromise agreement for 3.5% of GDP on core military spending by 2032, and 1.5% on broader security-related areas such as infrastructure. Multiple diplomats say that Rutte looks on track to secure the deal for the summit in The Hague – but that some allies are still hesitant about committing to such spending. 'I'm really, absolutely, positively convinced that at the summit with the 32, we will come to an agreement when it comes to this really big increase in defence spending,' the Nato chief said on Wednesday. Most vocal in its reluctance is Spain, which is only set to reach Nato's current target of 2% of GDP by the end of this year. Diplomats say that other countries are also haggling over making the timeline longer and dropping a demand for core defence spending to increase by 0.2 percentage points each year. But the deal appears an acceptable compromise to most that will allow Trump to claim that he has achieved his headline demand, while in reality setting the bar lower for struggling European allies. Hegseth looks set to use a meeting with his Nato counterparts in Brussels to pressure them into signing up to the agreement. The US has backed Rutte's plan – but its ambassador to Nato insisted on Wednesday that Washington wants to see 'plans, budgets, timelines, deliverables' to meet the target. In a connected move, Nato ministers will sign off at their meeting in Brussels on new capability targets for the weaponry needed to face the threat from Russia. Nato officials have estimated that, on average, meeting the new targets would cost countries between 3.5% and 3.7% of GDP. Hegseth, a former TV presenter, rocked Nato on his last visit in February with a fiery warning that Washington could look to scale back its forces in Europe to focus on China. Since then there has been no concrete announcement from the US on troop withdrawals but Nato allies remain on tenterhooks. Ukraine question With Nato appearing headed for the defence spending deal, another thorny issue now threatens to overshadow the summit in three weeks time: what to do about Ukraine? Trump's return to the White House ripped up Washington's support for Ukraine and upended the West's approach to Russia's three-year-long war. Hegseth underlined US disengagement with Kyiv by skipping a meeting of Ukraine's backers in Brussels on Wednesday. Kyiv's European allies are pressing strongly to overcome US reluctance and invite Ukraine's President Volodymyr Zelensky to The Hague as a sign of support. So far, Nato has only said that Ukraine will be represented at the gathering – but has not confirmed that Zelensky will be in attendance.
Free Malaysia Today
2 hours ago
- Free Malaysia Today
From attendances to NBA-style walkouts: Club World Cup talking points
The clash between Bayern Munich and Boca Juniors saw passionate Argentinian fans making up the vast majority of the 63,587 attendance. (AP pic) MIAMI : The opening week of the first 32-team Fifa Club World Cup in the US has been played under a political shadow, while South American sides impress and some games struggle to attract fans. AFP Sport looks at some of the main talking points at the tournament so far: Fifa have faced criticism for their increasingly close links to US President Donald Trump and his administration. Ahead of the tournament, Uefa accused Fifa chief Gianni Infantino of prioritising 'private political interests' after he turned up late for Fifa's own congress because he met with Trump in the Middle East. Infantino was in the Oval Office again on Wednesday with a delegation from Juventus, as they shared an awkward exchange with Trump as he questioned them on transgender athletes. 'It was a bit weird,' said Juventus and USA forward Timothy Weah. 'When he started talking about the politics with Iran and everything, it's kind of, like… I just want to play football, man.' Meanwhile some fans were worried by reports ICE (US Immigration and Customs Enforcement) officers were providing 'security' at Club World Cup stadiums. Plainclothes ICE officers have been targeting what they say are 'undocumented' migrants. To this point they do not appear to have apprehended any match-going supporters. Europe's leading clubs are the richest in the world and it would be a surprise if the winner of the inaugural 32-team Club World Cup came from a different continent. However, the evidence so far is that Europe's representatives are not having it all their own way. Up to Friday, clubs from Europe had won only half of 16 games against opponents from other continents, with South America showing it can more than hold its own. Paris St-Germain lost to Botafogo, while Chelsea were blown away by Flamengo. Real Madrid could not get the better of Saudi side Al-Hilal, but Europe sent far more clubs (12) than any other continent and it still looks likely that over half of the teams in the last 16 will be European. There has been a lot of talk about empty seats, with the low point being the attendance of 3,412 in Orlando for Mamelodi Sundowns against Ulsan HD. There were also barely 22,000 at Chelsea's win over Los Angeles FC in Atlanta, leaving around 50,000 empty seats in the stadium in Atlanta. Yet the average attendance over the first seven days at the tournament was 36,135. That is higher than the average in La Liga, Serie A or Ligue 1 over the last season. The games featuring South American teams have seen some incredible atmospheres, especially in Miami for Friday's clash between Bayern Munich and Boca Juniors. 'Amazing, amazing,' said Bayern coach Vincent Kompany when asked about the crowd, with passionate Boca fans making up the vast majority of the 63,587 attendance. 'It is one of these things: if you are not here it is sometimes hard to understand, but being here is an experience, a privilege.' Several matches have been held up because of inclement weather. Common public safety protocols in the US mandate that outdoor sports events are suspended for at least 30 minutes if lightning or thunder is seen or heard in the nearby area. Two matches in Orlando, a regular location for tropical storms, have been suspended, while games in East Rutherford and Cincinnati have also been interrupted. National team coaches preparing for the 2026 World Cup must consider the best way to prepare their players to cope with such delays. Climate change has been linked to an increase in frequency and intensity of storms and extreme weather conditions. Organisers have jumped on the chance to make each game a show in the style of a traditional American sporting event, including having players come out onto the field one by one as their names are announced, like in the NBA. 'Why not bring it to the Premier League,' replied Chelsea's Romeo Lavia when asked if it could become a thing in England. 'It's a bit of a showbiz thing, isn't it? I quite like it.' Not everyone agrees with Lavia. 'It's a bit slow. I find it a bit strange. It seems like putting on a show for the sake of it. It seems a bit pointless,' said the Porto coach, Martin Anselmi.
