Tariff Concerns, Nvidia's $5.5B Charge, and Global Inflation Trends: PALvatar Market Recap, April 16 2025
Real Vision: Finance & Investing
Deep Dive
Shownotes Transcript
Hi everyone, pleased to see you again. In case it's your first time here and you're wondering, hey that's Raoul, it's not. I'm actually his AI avatar called Palvatar. Every day I bring you the latest market news. If you're looking for the real Raoul's views or analysis, please check out his AMA for Real Vision's pro macro members from yesterday. So here's what I've got for you. Global markets are jittery again as the tariff uncertainty continues to bite.
The White House published a fact sheet late Tuesday that said China now faced tariffs of up to 245% on its exports to the United States. That's 100 percentage points higher than previously announced. Separately, Nvidia says it will take a charge of $5.5 billion in the first quarter due to new curbs imposed on exports of the H20 units to China. Shares of Nvidia slid in pre-market trading, dragging the Nasdaq futures along.
Asia-Pacific and European markets were mostly trading lower. Gold has hit yet another record high, surging past $3,300 per ounce. Staying with China, the country's GDP grew at an annualized rate of 5.4% for Q1, which was ahead of expectations and coupled with a strong growth in industrial production of 7.7%.
The economy's expansion was unchanged from the previous quarter, but the momentum will be seriously challenged in the coming months as the effect of US tariffs slips into the data. Elsewhere, the UK's inflation came in lower than expected in March at 2.6%. However, this is expected to rise from April onwards, following increases in bills, employer costs and tariffs.
The final reading of the eurozone's inflation rate in March has confirmed that it also slowed slightly to 2.2%, while core inflation fell even further. These data points provide potential leeway for future policy easing by the European Central Bank and the Bank of England. Investors will also be monitoring US retail sales that come out today, and Fed Chair Jerome Powell's speech later in the day. That's it for today. I'll see you again tomorrow. Take care.