Here is what you need to know.
Trump’s trade war could take a big bite out of global trade. Further escalating President Donald Trump’s trade conflict could cost the global economy $800 billion, or 4% of global trade, according to Oxford Economics.
The EU is reportedly plotting a major international effort to defuse the trade tensions. The European Union is reportedly keen on holding talks with major automakers about a coordinated effort to cut preexisting tariffs and defusing Trump’s trade war before it escalates further, the Financial Times says.
A harbinger of trade is flashing a warning signal for the global economy. Hong Kong’s Nikkei-IHS Markit PMI fell to 47.7 in June, its weakest in nearly two years.
Iran asks Trump to stop tweeting about oil – because it’s driving up prices. “Please stop it, otherwise it will go even higher!” Iran’s OPEC governor, Hossein Kazempour Ardebili, said in a statement, according to the country’s Shana news agency.
Elon Musk ordered Tesla engineers to stop doing a critical brake test on Model 3s. Internal documents seen by Business Insider's Linette Lopez show Tesla CEO Elon Musk ordered his employees to stop putting nearly finished Model 3s through a critical brake-and-roll test at the company's factory in Fremont, California.
The chairman of one of China's largest conglomerates has died in a fall. Wang Jian, the chairman of the debt-ridden Chinese conglomerate HNA, died in a fall during a business trip to France in what authorities are treating as an accident. He was 57 years old.
Jaguar warns on a "bad Brexit." Jaguar Land Rover CEO Ralf Speth told the Financial Times that a "bad Brexit" would threaten 40,000 UK jobs and £80 billion ($106 billion) of investment.
JPMorgan released its 3rd-quarter guide to the markets. Trade wars and the belief that the US economy is nearing the end of its economic cycle have put a damper on economic sentiment, the bank warns.
Stock markets around the world trade mixed. China's Shanghai Composite (-0.91%) paced the losses in Asia, and Germany's DAX (+1.2%) leads in Europe. The S&P 500 is set to open up 0.56% near 2,728.
US economic data is heavy. ADP Employment Change will be released at 8:15 a.m. ET, and initial claims cross the wires at 8:30 a.m. ET. Data continues with Markit US Services PMI at 9:45 a.m. ET and ISM Nonmanufacturing at 10 a.m. ET. The latest Fed minutes are due out at 2 p.m. ET. The US 10-year yield is up 3 basis points at 2.86%.