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Trump accepts olive branch from Kim
This week markets have been reeling from a barrage of political events. Markets decided early on that Trump probably didn’t mean what he’d said last week about tariffs, but then took two on the chin when his chief economic advisor Gary Cohn quit, ostensibly because the president did mean what he said as we all found out when he signed an executive order to implement tariffs on Thursday. Before we could fully react to that, news broke that Trump has agreed to meet with Kim Jong-un, a complete break with decades of US foreign policy. The White House may have started a trade war and prevented a nuclear one within 48 hours.
Elsewhere, the Italian election, which has been talked about for months as a major political risk hanging over Europe, finally took place. The results were inconclusive, and while this is the norm for an Italian election, the outright winner and ultimately new leader is especially hard to predict. What this means for Europe and the Euro is also still up in the air.
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