Asian currencies, stocks whipsaw on Trump's tariff threat

'Uncertainties' are set to continue, says market strategist

The Japanese yen weakened past 156 to the dollar at one point on Jan. 21 as U.S. President Donald Trump hinted that 25% tariffs on imports from Mexico and Canada could start in February. (Photo by Nanami Sato)

LISA KIM, WATARU SUZUKI, ECHO WONG and TSUBASA SURUGA

January 21, 2025 11:45 JST

Updated on January 21, 2025 18:13 JST

TOKYO/SHANGHAI/HONG KONG/SINGAPORE -- Asian currencies and stocks whipsawed Tuesday after U.S. President Donald Trump said he could impose tariffs on certain imports.

"We're thinking in terms of 25% on Mexico and Canada... I think we'll do it Feb. 1," Trump said as he signed executive orders. His comments instantly triggered slides in Asian currencies as tariffs would be inflationary for the U.S. economy.