With collection of President Trump's 10 percent universal import tariff having started on Saturday and with much bigger taxes on imported goods from many major trading partners scheduled to start on Wednesday, attention will focus on what retaliation comes this week. Markets are watching in particular to see how the EU responds, and how markets and Trump react in turn. After last week's wipeout in equities, commodities, and risk assets generally, lots of attention will focus on whether the global selloff continues, and whether the unexpected weakening in the dollar persists on the tariff news. Markets reacted very badly on Friday when China retaliated with a new tariff on US goods equivalent to the 34 percent imposed by the US on Chinese goods entering the US.

Trump appears publicly unfazed by the scope of the negative reaction to his policies. In a post on Saturday, the president urged Americans to"hang tough," and called the tariffs an"economic revolution.""We are bringing back jobs and businesses like never before," he said, adding,"It won't be easy but the end result will be historic. We will, MAKE AMERICA GREAT AGAIN!!!"

Market Focus details key factors in the coming day that will impact the economic outlook and the financial markets. These include central bank events, economic indicators, policymaker speeches as well as expected political and corporate developments.

Keeping up-to-date with event schedules and the economic calendar is key to understanding the global financial system. Econoday's Market Focus allows investors and policymakers to carefully track what will be making news and moving the financial markets in the coming day.