Thread by @markets

THREAD 1) Markets are reeling as Trump opens a new front in the trade war, turning his tariff gun toward Mexico.

Here’s a look at the reactions in markets. bloom.bg/2EK0yp5

2) Mexico’s currency slumped — by as much as 2.3% — its biggest one-day move since October. bloom.bg/2EK0yp5

3) S&P 500 Index futures were also hit. “Trump’s latest announcement just switched the dial back to risk-off,” said Jingyi Pan, a market strategist at IG Asia. bloom.bg/2EK0yp5

4) The U.S. dollar pushed higher, alongside the yen, as traders sought out traditional havens. bloom.bg/2EK0yp5

5) The surprise tariff moves extended the recent rally in U.S. Treasuries, with the 10-year yield dropping decisively below its 200-day moving average. bloom.bg/2EK0yp5

6) Japanese carmakers, which assemble vehicles in Mexico to sell in the U.S., tumbled. Mazda slumped as much as 8.7%, dragging the shares to a 6-year low. Nissan and Honda also fell. bloom.bg/2EK0yp5

Read more about Trump's vow to impose a 5% tariff on Mexican goods until that country stops immigrants from entering the U.S. illegally bloom.bg/2EGxGhi