Morning Bid: Trouble with a capital 'T'

By Mike Dolan

LONDON (Reuters) - What matters successful U.S. and planetary markets today

By Mike Dolan, Editor-At-Large, Financial Industry and Financial Markets

The bigger the buildup to an event, the greater the hazard of disappointment. Wednesday's much-heralded U.S. tariff announcements mightiness not unrecorded up to the hype, but adjacent if they do, this is not going to beryllium the extremity of the matter, and the marketplace absorption won't beryllium chopped and dried either.

I'll sermon however markets are reacting successful beforehand of the large uncover and past research the hazard investors should beryllium focusing connected close now. Hint, it's not a tariff astonishment today.

Today's Market Minute

* U.S. President Donald Trump is poised to enforce sweeping caller reciprocal tariffs connected planetary trading partners today, upending decades of rules-based trade, threatening outgo increases and apt drafting retaliation from each sides.

* Drugmakers are lobbying to Trump signifier successful tariffs connected imported pharmaceutical products successful hopes of reducing the sting from the charges and to let clip to displacement manufacturing, according to this Reuters exclusive.

* Reuters takes a look astatine past examples of eras dominated by tariffs and astatine however they've affected prices and trade.

* The U.S. medication is readying an enforcement bid that would loosen the rules astir exports of subject equipment, conscionable arsenic Europe is rearming astatine the fastest gait successful astatine slightest 80 years, according to 4 sources acquainted with the discussions.

* One of the world's largest car portion suppliers is preparing for Trump's tariffs by "controlling the uncontrollable" arsenic the manufacture faces a seismic shakeup.

Trouble with a superior 'T'

The timing of the Rose Garden acceptable portion laying retired Donald Trump's long-awaited commercialized strategy is present pencilled for 4 p.m. Eastern Time today.

Various reports person circulated indicating that Trump volition beryllium announcing 20% across-the-board import tariffs, but different reports person talked of a tiering system. No one, including fiscal traders and investors, seems afloat definite of what is coming.

Perhaps prepping for each outcomes, Wall Street stocks roseate somewhat connected Tuesday arsenic the second-quarter got underway, though they inactive underperformed their European peers. But S&P 500 futures gave backmost those gains overnight, and astir satellite markets were somewhat successful the reddish connected Wednesday.

The VIX "fear index" was astir 22, supra humanities averages but inactive good shy of the 7-month precocious adjacent 30 acceptable a period ago.

Whatever the result aboriginal today, determination is apt to beryllium a question of retaliatory tariff measures, which person been little discussed successful analyses of the imaginable worldwide interaction of the U.S. tariffs.