Articles in this Cluster
30-06-2025
Canada scrapped its 3% digital services tax—set to be collected starting Monday and applied retroactively to 2022—after President Trump halted U.S.-Canada trade talks in protest. Prime Minister Mark Carney said the reversal aims to restart negotiations toward a comprehensive trade deal by July 21, 2025. The tax targeted both domestic and foreign tech firms, including U.S. giants like Amazon, Google, and Meta. U.S. officials argued the levy, especially its retroactive element (about $2 billion), unfairly discriminated against American companies. Ottawa said dropping the tax will facilitate progress on a broader economic and security agreement, while maintaining it will pursue a multilateral solution to digital taxation.
Entities: Canada, Digital Services Tax, Donald Trump, Mark Carney, United States • Tone: analytical • Sentiment: neutral • Intent: inform
30-06-2025
- The S&P 500 and Nasdaq closed at record highs Friday, boosted by Nvidia and Microsoft, and optimism over U.S.-China trade developments.
- China confirmed a framework with the U.S. easing tech restrictions and covering rare earth exports; President Trump hinted he could extend a 90-day pause on “reciprocal” tariffs.
- Markets pared gains after Trump said the U.S. is terminating trade talks with Canada over its digital services tax targeting firms like Amazon, Google, and Meta.
- U.S. inflation ticked up in May, with core PCE rising 0.2% month over month and 2.7% year over year, both slightly above expectations.
- Investors are watching Thursday’s June nonfarm payrolls report, with a shortened U.S. trading day ahead of the Friday market holiday.
- In AI news, Baidu plans to open-source its Ernie LLM, seen as a significant competitive move against OpenAI, Anthropic, and DeepSeek.
Entities: S&P 500, Nasdaq, Nvidia, Microsoft, U.S.-China trade • Tone: analytical • Sentiment: neutral • Intent: inform
30-06-2025
U.S. stock futures rose early Monday, extending June’s strong rally after the S&P 500 hit a fresh record Friday. S&P 500 and Nasdaq 100 futures gained about 0.4%-0.55%, while Dow futures climbed roughly 0.57%. For June, the S&P 500 is up 4.4%, the Nasdaq about 6.1%, and the Dow 3.7%. Markets remain sensitive to shifting trade headlines: optimism over a reported U.S.-China trade framework and potential deals with other partners contrasted with renewed tensions after President Trump said the U.S. would halt trade talks with Canada over its digital services tax. Investors are also watching Senate action on a major White House bill with uncertain House prospects. Sentiment is buoyed by resilient price action despite geopolitical and economic worries. On earnings, FactSet reports 51 S&P 500 companies have issued positive Q2 EPS guidance—above 5- and 10-year averages—though overall Q2 earnings growth is estimated at 5%, the slowest since Q4 2023.
Entities: S&P 500, Nasdaq 100, Dow Jones Industrial Average, U.S.-China trade, Canada digital services tax • Tone: analytical • Sentiment: positive • Intent: inform
30-06-2025
Canada will rescind its planned Digital Services Tax, which was set to take effect retroactively to 2022, to restart halted trade negotiations with the United States. The move follows President Trump’s cancellation of talks over the tax, which he labeled a non-tariff trade barrier. Canada’s finance minister announced the rollback to facilitate a comprehensive trade deal, with Prime Minister Mark Carney and President Trump agreeing to resume negotiations aiming for an agreement by July 21, 2025. The decision is seen as a win for Trump amid broader, volatile changes to U.S. tariff policies that have increased global business uncertainty. Canada remains a top U.S. trading partner, both as the largest buyer of American goods and a major exporter to the U.S.
Entities: Canada, Digital Services Tax, United States, Donald Trump, Mark Carney • Tone: analytical • Sentiment: neutral • Intent: inform
30-06-2025
Canada’s new prime minister, Mark Carney, pushed through federal legislation to reduce internal trade barriers by July 1 as a response to U.S. tariffs under President Trump, arguing more domestic trade could strengthen the economy. While economists agree internal liberalization is sensible, they say it won’t offset reliance on the U.S. market due to Canada’s geography, small population, transportation costs, and low productivity. The biggest obstacles lie with provinces’ fragmented regulations—covering product standards, professional licensing, and securities oversight—which are harder to harmonize than federal rules. A long-running effort to create a national securities regulator collapsed in 2021, illustrating provincial resistance. Even if all domestic barriers fell, estimates of long-run gains vary and would take years; economists caution it won’t meaningfully replace export demand, and recent events—like Canada dropping a digital services tax after Trump froze talks—underscore the continued centrality of U.S.-Canada trade.
Entities: Canada, Mark Carney, President Donald Trump, U.S.-Canada trade, internal trade barriers • Tone: analytical • Sentiment: neutral • Intent: analyze
30-06-2025
Canada will cancel its 3% digital services tax on major U.S. tech companies after President Trump suspended trade talks and threatened duties, prompting Ottawa to reverse course 48 hours later. Prime Minister Mark Carney discussed the move with Trump, and talks are resuming with a goal of a July 21 deal. The tax, retroactive with first payments due Monday, would have cost U.S. firms about $2.7 billion. While formal repeal requires legislation, collection is suspended. The shift aims to ease tensions amid existing broad U.S. tariffs on Canadian goods and underscores Canada’s dependence on U.S. trade.
Entities: Canada, United States, Donald Trump, Mark Carney, digital services tax • Tone: analytical • Sentiment: neutral • Intent: inform
30-06-2025
The EU is reportedly willing to accept a 10% increase in US tariffs on many of its exports in exchange for US commitments to lower duties on sectors like pharmaceuticals, alcohol, semiconductors, and aircraft, and to ease steep tariffs on cars, steel, and aluminum. This follows Canada’s move to scrap a 3% digital services tax after President Trump threatened to end trade talks and unilaterally set tariffs, indicating his hardline approach is pressuring allies into concessions.
Entities: European Union, United States, Canada, Donald Trump, digital services tax • Tone: analytical • Sentiment: neutral • Intent: inform
30-06-2025
Canada abruptly scrapped its planned 3% digital services tax on major US tech firms, prompting the White House to claim Prime Minister Mark Carney “caved” to President Trump’s demands. The reversal, announced on the eve of first payments and expected to forgo more than $7bn over five years, paves the way to resume stalled US–Canada trade talks, with a target deal date of 21 July. The tax, retroactive to 2022 and aimed at companies like Meta, Amazon, Google, Uber, and Airbnb, had triggered Trump to halt negotiations and impose pressure amid broader disputes over tariffs on Canadian exports. US officials credited Trump for the U-turn; Canadian business groups welcomed the move, while critics said Ottawa mismanaged the file and overplayed its hand on tech policy.
Entities: White House, Mark Carney, Donald Trump, Canada, United States • Tone: analytical • Sentiment: neutral • Intent: inform
