As we know Donald Trump’s policies concerning Chinese tariffs have been quite harsh. And after the signing of the new tariffs was carried out many began to wonder whether a full-on trade war is going to break out soon between the West and East. But some traders who can analyze the market can even expect to profit from the situation as there is an asset that will grow if such a scenario breaks out.

Gold. And the logic behind this growth would be very simple. Budget deficit of America is growing, and China will not take the new tariffs lying down. Of course, there will be an answer. This week new package of Chinese wares that will become a subject to the tariff policy is to be announced by the American officials. And China will answer. In this case the demand for US assets will go down and the greenback will take a hit once again.

Og course, with weaker dollar gold will start growing in price as it always happens. As the experts say, “the most important determinant of the gold price has been international confidence in the U.S. dollar”. And it the level of confidence falls, the price for gold will go up.

Expectations are quite high: gold can easily breach the mark for $1400 per ounce.

“Kalamata” – such is the code name for the operation that Apple is going to fulfill by 2020. What are the specifics of this operation? Well, as all Apple users know currently all the devices from this manufacturer use Intel processors and this seem not to go hand in hand with the plans of the company.

With no confirmation from the Apple officials, anonymous source told the press that it is quite possible that iPhones, iMacs and iPads will soon be operating with the help of Apple-made chips. Of course, such a big project takes time and will likely go through in several stages.

But of what use can this information be for the traders? Well, Apple rejecting Intel’s production will undoubtfully be a big hit for Intel, the company that was an undeniable part of Apple’s success. Of course, a company as big as Intel will not fall apart without one of the partners, but Apple did provide Intel with about 5 percent of the company’s annual income.

After the information broke our Intel’s shares dropped by as much as 9.2 percent. They haven’t been as low in more than 2 years. Neither Apple nor Intel officials agreed to comment on the situation referring to partnership confidentiality.

Yesterday it was confirmed by the Indonesian parliament that the Central Bank of the country got a new head. Perry Warjiyo, who is 59 at the moment takes the seat in not the easiest of times. Emerging markets are under a lot of pressure and for now expect more falls to come. 

Although the tines are hard on the region’s markets Perry Warjiyo promised that he will ensure rupiah’s stability, although this currency is among the worst performing currencies in the region right now. Warjiyo assured that in case the situation gets worse, and rupiah sees no stability, the Bank will intervene. 

As a priority Warjiyo named a stable exchange rate for the rupiah and low inflation. At the same time the government of the country and the Central Bank will focus on the ways to boost economic growth. 

Previous head of the Central Bank of Indonesia has his term running out in May after 5 years in the seat.

As European and American markets resumed their trading after the long Easter weekend the numbers are not so good after the technology stock were a subject to the selloff once again. Although the situation in Asia is looking much better with the stocks there erasing the drop and going up.

Stoxx Europe 600 lost 0.5 percent.

S&P 500 Index Futures gained 0.5 percent.

MSCI All-Coutry World went to the lowest point in almost 20 weeks with 0.1 percent drop.

MSCI Emerging Market went up 0.1 percent.

Dollar went down 0.2 percent against the basket of six major currencies and Japanese yen went up by as much – 105.95 yen per dollar.

Euro and pound are up by 0.2 percent.

WTI oil added 0.3 percent - $63.22 per barrel.

Gold lost 0.1 percent - #1340.47 per ounce.