Canadian Prime Minister Justin Trudeau will meet with Donald Trump today for the first time since the US President took charge. Trump has put a lot of pressure and installed serious concerns for Canada with threats of trade tariffs. This will be the first opportunity for Trudeau to potentially challenge Trump and the Canadian people will hope he shows strength.

At the moment it appears they’re at the mercy of Trump and his plans, which has forced Canadian manufacturers to really consider strategies for the near future. The supposed import tax for foreign goods being sold in America could cause Canadian businesses to move production south of the border, in turn having a damning effect on Canada’s economy.

California Dam Concerns

The biggest dam in the United States is currently overflowing after nearly record breaking rains caused the dam to overspill. Nearly 200,000 people have been evacuated with concern that the spillway was close to breaking. Whilst the main dam itself was not structurally compromised there could be a major release of water which could create a wall 30 feet high. Whilst the levels have dropped in the last few hours there are further storms expected in the coming week. Natural disasters are one of the main movers of currency markets and should there be a dam break it could cause significant movements. The cost of the damage to be repaired can move into the billions very quickly.

Janet Yellen to Speak twice this week

Chairlady of the Federal reserve, Janet Yellen will speak on both Wednesday and Thursday this week. There was optimism of further interest rate hikes this following the jump in December. However in recent weeks there has been an element of apprehension as to whether or not that might happen in the near future. Trump has already started to implement his policies causing major controversy, I have no doubt a Dovish Yellen will suggest the Fed are going to wait and see what happens.