𝓤𝓷𝓲𝓽𝓮𝓭 𝓝𝓮𝔀𝓼

On the back of that tariff from the US, the EU look ready to respond in kind.

Italy’s foreign minister Antonio Tajani said to Il Messaggero: “Tariffs hurt every one, starting with the United States.

“If stock markets fall that puts at risk the pensions and the savings of the Americans.”

He also said there was a list of €21bn (£18bn) worth of US goods ready to be tariffed.

Donald Trump announced 30 per cent tariffs on EU products over the weekend, as well as hitting Mexico with the same number.

“We have had years to discuss our trading relationship with The European Union, and we have concluded we must move away from these long-term, large, and persistent, trade Deficits, engendered by your tariff, and non-Tariff, policies, and trade barriers,” the US president wrote on social media.

“Our relationship has been, unfortunately, far from reciprocal.”

With interest rates at 4.25 per cent, there have been calls for the Bank of England to lower the base rate more quickly from some quarters.

Andrew Bailey, the BoE governor, says that other people have asked why they are coming down at all however, given inflation remains stuck well above the target rate at 3.4 per cent.

It’s a constant battle, but the hint has been left this time that they could come down a notch again next month as businesses tighten expenses via the jobs market.

Bailey said: “I really do believe the path is downward but we continue to use the words ‘gradual and careful’. I think we’re getting more consistently the story that [businesses], if you take the national insurance change, are adjusting via the labour market. I don’t think we’re getting to a tipping point in the sense that it’s ­becoming a sort of flood.”

Bitcoin has been on a tear of late – it’s up 30 per cent this year, 15 per cent this month, almost ten per cent in the last week… and up once again overnight, setting a new all-time high in the process.

Having hovered around $118,000 most of the weekend, the latest surge has taken it to a high point of around $122,450.

It seems to be settling so far just above the $122,000 mark.

From a year ago today it is up 100.9 per cent – almost exactly doubling in that period.

Good morning and welcome to another week of action on The Independent’s rolling live business blog.

There’s lots coming this week, from stock market reaction to UK inflation data, but we start it all in the money markets where the pound is dropping – but bitcoin is heading up.