Russia Shrugs Off New EU Oil Price Cap, Says It Is Immune To Sanctions

Global investors pulled money out of equity funds in the week through July 16 as U.S. President Donald Trump's tariff threats and an inflation report indicating an increase in U.S. consumer prices, dampened risk sentiment.

Investors withdrew a net $5.3 billion from global equity funds during the week, registering their first weekly net sales since the week to June 25, LSEG Lipper data showed.

A U.S. inflation report on Tuesday showed that consumer prices increased at the sharpest pace in five months in June, suggesting tariffs were starting to have an impact on prices and potentially keeping the Federal Reserve on the sidelines until September.

Investors divested a net $11.75 billion worth of U.S. equity funds following two weekly net purchases in a row. In contrast, they added European and Asian funds worth a net $4.66 billion and $718 million, respectively.

Sectoral funds had a mixed set of data as the healthcare and technology sectors witnessed $1.91 billion and $578 million net outflows, while investors snapped up industrial and financial sector funds totaling a net $1.11 billion and $791 million, respectively.

Global bond funds saw a buying spree extended into a 13th straight week, with approximately $12.85 billion net investments flowing into these funds.

Euro denominated bond funds, short-term bond funds, high yield bond funds and government bond funds were popular as these funds witnessed a robust $3.57 billion, $3.08 billion, $1.98 billion and $1.33 billion, respectively in net inflows.

Money market funds, meanwhile, lost about $21.3 billion in their first weekly net sales in three weeks.

Gold and precious metal commodity funds remained popular for an eighth straight week as these funds saw nearly $741 million worth of weekly net investments.

Emerging market funds came under pressure during the week as equities lost $208 million, while bonds had a net $1.12 billion weekly sales that ended an 11-week-long buying trend, data for a combined 29,644 funds showed.

Source: Yahoo Finance

U.S. Treasury Secretary Scott Bessent told Japanese Prime Minister Shigeru Ishiba that their countries can reach a "good agreement" on tariffs, Ishiba said on Friday after meeting Bessent in Tokyo.

No specific terms were discussed, such as the 25% tariff U.S. President Donald Trump has said he will impose on Japan from August 1, Ishiba said, but he added that Bessent would continue "active talks" with his top tariff negotiator Ryosei Akazawa.

Akazawa, who also joined the meeting, told reporters that both countries agreed to carry on a "constructive dialogue". Bessent left Ishiba's office without speaking to reporters.

The comments from top Japanese officials came after Bessent made a courtesy visit to Ishiba in Tokyo, before attending a U.S. national day event on Saturday at World Expo 2025 in Osaka.

The White House did not immediately respond to a Reuters request for comment.

Japan's shaky minority government is poised for another setback in an upper house vote on Sunday, an outcome that could jolt investor confidence in the world's fourth largest economy and complicate tariff talks with the United States.

Japan's Mainichi Shimbun daily reported on Friday evening that Akazawa has started making arrangements to visit the United States next week for further tariff talks with Bessent and Commerce Secretary Howard Lutnick.

Source: Reuters

From crypto coins to bibles, overseas development deals to an upcoming line of cellphones, President Donald Trump's family businesses have raked in hundreds of millions of dollars since his election.

That flood of money — from billionaires, foreign governments and cryptocurrency tycoons, often with interests before the federal government — has permitted the president to leverage the power of his office for personal gain unlike any of his predecessors.

The sums collected are far greater than those made by the family during Trump's first term, when patronage of his hotels and other properties was de rigueur to curry favor with the famously transactional commander-in-chief.

Here are some takeaways from The Associated Press' reporting on the Trump family's latest money-making ventures:

By the numbers

Trump made money during his first term by turning his hotels and resort properties into destinations for his MAGA allies — and those who sought to curry favor with him.

This time around, the family's ambitions are grander. One of Trump’s cryptocurrencies is conservatively estimated to have pulled in at least $320 million since January, while another received a $2 billion investment from a foreign government wealth fund. A third has sold at least $550 million in tokens.

His sons have jetted across the Middle East to line up new development deals, while his daughter and son-in-law are working with the Albanian government to build a Mediterranean island resort. Even first lady Melania Trump has inked a $40 million documentary deal with Amazon, whose founder, Jeff Bezos, was a frequent target of Trump during his first presidency and whose companies contract extensively with the federal government.

He’s also touted a line of Trump shoes, a Bible that is made in China, and Trump guitars, one of which is a Gibson Les Paul knockoff, featuring “Make America Great Again” fret inlays, that sells for $1,500.

He’s continued to make money from political spending at his hotels, resorts and golf courses, as he has done for over a decade. Conservative groups and Republican committees have spent at least $25 million at Trump properties since 2015, with most of it coming from Trump’s own political organization, campaign finance disclosures show

Is this normal?

Since Richard Nixon resigned in disgrace, presidents have gone to great lengths to avoid the appearance of such conflicts.

Jimmy Carter and Ronald Reagan kept assets in a “blind trust,” while George H.W. Bush used a “diversified trust,” which blocked him from knowing what was in his portfolio. His son, George W. Bush, used a similar arrangement.

Source: Yahoo Finance

The Group of 20 finance ministers are expected to agree on a communique at their meeting on Friday, achieving a rare consensus despite strains caused by US President Donald Trump’s trade war.

The statement will likely include language on economic uncertainties and trade issues that have been sticking points in the past, said several officials who requested anonymity to discuss the talks.

“At a time when the world is more uncertain, we need more engagement not less, we need more robust and resilient and reliable markets for our exports,” said Australian Treasurer Jim Chalmers. “That’s the spirit which has guided people’s contribution here – probably the main reason we’ve been able to get a communique,” he told Bloomberg at the event in South Africa’s eastern province of KwaZulu-Natal.

Trump’s trade war, which is poised to escalate with new tariffs on Aug. 1, has strained the G-20’s multilateral foundations and complicated South Africa’s efforts — as this year’s rotating president — to keep the group’s agenda on course.

By imposing trade levies, scorning South Africa’s G-20 motto of “solidarity, equality and sustainability” and pulling billions of dollars in funding for climate finance and international aid, the US is testing a world order that’s dominated since the end of World War II.

That makes achieving a joint communique — rather than a chairman’s summary, achieved at a previous G-20 finance meeting in the country — even more significant.

“We are very optimistic that a final communique will be issued today, sending a strong signal in favor of multilateralism,” German Finance Minister Lars Klingbeil told reporters at the event. “This is a major achievement for the G-20 presidency, which has conducted these negotiations with prudence and skill.”

The gathering, at a lush resort on the Indian Ocean near the port city of Durban, was able to make progress despite the absence of several finance ministers including US Treasury Secretary Scott Bessent, who is traveling to Japan.

South African Finance Minister Enoch Godongwana had voiced confidence on Thursday that a communique would be signed, despite the lack of Washington’s top finance official.

While the US didn’t send Bessent, those who came had “a clear mandate” to speak on behalf of their government, he said.

Source: Bloomberg Europe

Major Wall Street brokerages have withdrawn their expectations for a September interest rate cut by the Bank of England, as inflation remains sticky and the labour market resilient.

Britain's annual rate of consumer price inflation unexpectedly rose to its highest in over a year at 3.6% in June, data showed on Wednesday. A Reuters poll of economists had expected inflation to remain unchanged at May's reading of 3.4%.

Pay growth slowed and employee numbers dropped further in May, but the cooling in the labour market which had alarmed some policymakers appeared less acute than previous data had suggested, official figures showed this week.

This led to BofA Global Research, Citigroup, Morgan Stanley and Goldman Sachs pulling back their expectations for a September rate cut on Thursday.

"The data is not weakening enough for the BoE to accelerate cuts," BofA said.

Morgan Stanley said that the BoE's "path beyond remains cautious and data-dependent."

Both BofA and Morgan Stanley forecast the central bank to reduce policy rates twice each in August and November this year, while Goldman Sachs expects sequential cuts from November through March 2026 to a 3% level.

The UK's benchmark bank rate currently stands at 4.25%.

Citigroup expects BoE to cut rates thrice this year, in August, November and December.

Money markets are pricing in a total of 48.6 basis points of BoE rate cuts by the year-end, with a 77.3% probability of a 25 basis point move in August, according to LSEG data.

BoE is set to meet next on August 7.

Source: Yahoo Finance

US Treasuries pared some of their weekly losses on Friday while the dollar fell at the end of a week dominated by debate about the trajectory and leadership of the Federal Reserve.

Yields on 10-year US government bonds inched lower to 4.45% — just three basis points higher on the week — while 30-year yields were on track to finish below 5% for the first time since Monday. A gauge of the dollar dropped 0.2% after a Fed policymaker publicly pushed to cut interest rates later this month.

It’s been a volatile week for Treasuries. The 30-year yield breached 5% for the first time since May as enduring inflation pressures prompted traders to pare odds of a September rate cut, while speculation that President Donald Trump might fire Fed Chair Jerome Powell also unnerved markets.

“Even with President Trump denying any near-term plans to remove Powell, uncertainty remains elevated, likely contributing to a lingering discount in long-term Treasuries,” wrote JPMorgan Chase & Co. strategists led by Jay Barry.

Meanwhile, this week saw option traders increasingly hedge the possibility of faster rate reductions than the market has priced in, as they wagered the next Fed chair — whenever they take up the mantle — will be more inclined to lower interest rates.

Indeed, the Fed’s Christopher Waller, who has been touted as a potential successor to Powell, said policymakers should cut interest rates this month to support a labor market that is showing signs of weakness.

Data on housebuilding and PMIs are on the slate next week, adding to the picture of the US economy.

Source: Bloomberg Europe