Trump’s recession statement and steps related to customs tariffs have been felt in the markets. Investors are now focused on the inflation figures to be announced today.

US President Donald Trump’s actions and statements continue to influence global risk appetite. Concerns arise from the possibility that the customs duties imposed by the US on important trading partners may cause a short-term slowdown in the economy, Trump stated yesterday that he does not see any possibility of a recession. Just hours before the 25% customs duty on steel and aluminum imports came into effect on March 12, Trump announced that tariffs on steel and aluminum products of Canadian origin would be increased to 50%.

WILL CANADA FACE ADDITIONAL TAXES? Trump’s decision came after Canada announced that it would impose an additional fee of 25% on the electricity provided by the Ontario province to US states. Ontario Premier Doug Ford, in a joint statement made with US Trade Secretary Howard Lutnick during the day, announced that Ontario agreed to suspend the additional fee of 25% imposed on electricity provided to Michigan, New York, and Minnesota. Peter Navarro, Trump’s senior advisor on trade and manufacturing, also stated in an interview that there are no plans to increase tariffs on steel and aluminum imports from Canada to 50%. INVESTORS FOCUS ON US INFLATION Analysts point out that uncertainties regarding tariffs are making pricing difficult in the markets and said that today’s inflation data will be at the forefront of investors’ focus. Meanwhile, concerns persist that Trump’s tariff steps may revive inflationary pressures in the country, as disagreements could arise between the Trump administration and the US Federal Reserve, which declared it would not be hasty in determining monetary policy. The inflation rate for February in the US is expected to be announced as 2.9%. In January, inflation in the country came in at 3%, above expectations. The inflation data will be known at 15:30. Expectations for a rate cut by the Fed in the first half of the year dominate pricing in the monetary markets, with an 85% likelihood that the bank will reduce its policy rate by 25 basis points in June.