Good evening and welcome to Markets Desk.
The biggest macro story right now is the breakdown in U.S.-Canada trade talks, and markets will be digesting this hard when Asia opens Sunday night. Washington has imposed fifty percent tariffs on roughly twenty billion dollars worth of Canadian exports, invoking a Great Depression-era law that has never before been used to levy import taxes. Ottawa is promising immediate retaliation, and with five percent of Canada's total annual exports now in the crosshairs, the ripple effects on supply chains, energy, and consumer prices are real and immediate.
Closely tied to that story is the broader pressure building in the Treasury market. Foreign investors are increasingly asking why they should absorb U.S. debt at current yields when higher-yielding alternatives exist abroad. The phrase you'll hear on trading desks is that the U.S. is no longer the only game in town, and that shift in appetite pushes yields higher, which means costlier mortgages, tighter credit, and a bond market that is effectively disciplining fiscal policy in real time.
Stepping back to the equity side, Rocket Lab is trading at fifty-nine times trailing revenue, roughly forty-five billion dollars in market cap against under eight hundred million in sales, with its flagship Neutron rocket still unflown. That kind of multiple demands flawless execution on a timeline that remains entirely unproven.
That's the tape. Markets Desk, signing off the floor.
