Americas: trouble at the top

Author: John Crabb | Published: 17 Oct 2018
Is trouble reaching new heights?

This month US headlines have been taken up with all the usual talk of tariffs, backstabbing and impeachment. Renegotiations for the North American Free Trade Agreement (Nafta) started with a bang this month when Trump announced that the US and Mexico had reached a bilateral trade agreement in its place. An initial lack of response from Canada made it appear that the new deal would exclude the northernmost of the trio, but following a missed deadline that would have seen any changes made before the inauguration of Mexico's incoming President Lopez Obrador, they appear to be back in the fray. Negotiations continue, but things appear to be at something of an impasse.

It was more good news for the secured overnight financing rate (Sofr), the Federal Reserve Bank of New York's chosen champion to succeed the London interbank offered rate (Libor) as...