Markets respond to Trump's tariff announcement on Mexico, Canada, and China

U.S. President-elect Donald Trump announced he will impose a 25% tariff on products from Mexico and Canada, and a 10% tariff on goods from China, starting on his first day in office. This news caused the dollar to rise against both the Canadian dollar and the Mexican peso. Market reactions included a drop in U.S. stock futures and Asian share markets. Analysts noted that the announcement may be an attempt to renegotiate trade agreements early, despite the U.S.-Mexico-Canada Agreement not being up for renegotiation until 2026. Some market participants expressed skepticism about the immediate impact of the tariffs, suggesting that Trump's approach may be more about negotiation tactics than actual implementation. The situation remains fluid as traders assess the potential effects on trade and currency values.