• U.S. Treasury Secretary Scott Bessent confirms trade deals with 18 major partners (excluding China) could be finalized this week.
  • President Trump to personally oversee negotiations as administration targets non-tariff barriers and unfair subsidies.
  • Markets react as Ford and Mattel adjust guidance, while the British Pound strengthens ahead of anticipated BoE rate cuts.

Breaking Down the Trade Push

U.S. Treasury Secretary Scott Bessent revealed in a May 6 CNBC interview that the administration is in the "final stages" of trade negotiations with 17 key trading partners, with announcements possible within days. The deals—explicitly excluding China—follow what Bessent described as "very good trade proposals" from counterparties. President Trump will have final sign-off on all terms, underscoring the White House’s hands-on approach to reshaping global trade flows.

"We’re addressing the real friction points—currency manipulation, hidden subsidies, regulatory blockades," Bessent said, suggesting tariffs could remain as leverage even if agreements streamline other barriers. The comments build on his Milken Institute remarks a day earlier, where he framed the deals as part of a broader economic agenda pairing deregulation with tax incentives for domestic industry.

Corporate Fallout and Market Ripples

The negotiations have already forced adjustments from major firms. Ford suspended full-year guidance, citing policy uncertainty, while Mattel announced price hikes to offset tariff costs and withdrew its own forecasts. Meanwhile, currency markets are betting on disruption: the British Pound hit a three-month high against the Euro as traders priced in expected BoE rate cuts Thursday. Analysts now project the Bank will abandon its "gradual" cutting language amid trade-related GDP downgrades.

The Broader Chessboard

These deals arrive just weeks after Trump’s April 2 "Liberation Day" tariff hikes, signaling a strategic pivot toward negotiated solutions. Legislative moves like making small-business tax deductions permanent—part of the proposed "ONE BIG BEAUTIFUL BILL"—aim to cushion domestic players. But with the Fed holding rates steady Wednesday and the BoE likely cutting to 4.25%, the administration’s trade gambit is testing central banks’ agility. As one Milan-based hedge fund manager noted anonymously: "This isn’t just about tariffs—it’s rewriting the playbook on who bears transaction costs in global trade."