Comments from Canadian trade negotiator Freeland
- Sunset clause is completely unnecessary in new, modernized NAFTA
- Unclear what US position is on sunset clause
- Canada expects full and permanent exemption from US steel and aluminum tariffs and quotas
- Expects more discussions on autos today
The Huffington Post is out with a report saying a NAFTA deal could be announced as soon as this week. Mexico said next week is the latest it could come, so that's not a surprise.
"Four people briefed on the NAFTA developments said they see a deal being possible as early as this week, based on a variety of factors," the report says.
NAFTA headlines haven't been a big market driver lately but there is still serious headline risk around a deal. Given the White House, nothing political is ever priced in at more than 95%.
Given some of these headlines leaking out, it still sounds like there is some work to do but as long as it's moving in the right direction, it's not going to tip over the market. A bigger question is what happens if/when a deal is announced?
