The U.S. and China slapped levies on $34 billion of each other’s exports, the first tangible shots in a trade battle that both sides are bracing to fight for months—if not years.  The new levies took effect after midnight Eastern Time in the U.S. In response, a commission of China’s State Council said it applied tariffs on 545 items “including agricultural products, vehicles, and aquatic products,” according to state-run Xinhua News Agency.  (WSJ)
 
A better than expected jobs report this morning: the unemployment rose to 4% in June, ticking up from 3.8% from the month before. While economists had expected the jobless rate to hold at that level--the lowest since 2000--the increase was largely due to 601,000 Americans entering the labor force. (FT)
 
The EU is preparing a new list of duties against the U.S. in case President Trump moves ahead with tariffs on European cars, FT reports. It reportedly includes levies worth €18B, which will target staples like ketchup, as well as frozen fish, raisins, suitcases and adhesive bandages.
 
With Northwest Quadrant Wealth Management, a Registered Investment Advisor I am Josh Fenili.