London pre-open: Stocks to fall as investors mull new Trump tariffs

(Sharecast News) - London stocks were set to fall at the open on Monday after US President Donald Trump announced over the weekend that he would introduce a new 15% global tariff, in response to the US Supreme Court's ruling on Friday.

The FTSE 100 was called to open around 20 points lower.

Trump said on Friday that he would introduce a new 10% global tariff, but this was upped to 15% on Saturday.

In a post on Truth Social, the US President said the new tariffs would be "effective immediately".

He wrote: "I, as President of the United States of America, will be, effective immediately, raising the 10% Worldwide Tariff on Countries, many of which have been 'ripping' the US off for decades, without retribution (until I came along!), to the fully allowed, and legally tested, 15% level."

Ipek Ozkardeskaya, senior analyst at Swissquote, said: "No one knows what's next. The White House said that the bilateral deals that have been agreed remain valid, but no one understands how trade partners can be imposed an additional 15% and still keep their original trade agreement. Meanwhile, the new 15% tariff itself cannot last forever, given that the legal provisions President Trump invoked only allow for temporary duties.

"There is also no clarity regarding whether and how the US will refund companies that were subjected to tariffs illegally and have probably already passed these costs on to clients.

"But in the aftermath of the first year with tariffs, the US trade deficit ballooned to the largest levels since 1960, and a recent New York Fed study showed that Americans - companies and households - have shouldered almost 90% of the tariffs imposed on the world by their government. Trump was furious after that study came out too... obviously.

"In summary, it feels like a 'Go Back to GO. Do Not Pass GO' moment in terms of trade uncertainty. We're back to square one, and the knock-on effects on companies, industries, countries and US debt levels are blurry again."

In corporate news, MoneySuperMarket owner Mony Group reiterated guidance despite "significant" headwinds in car insurance weighing on annual earnings.

Revenues for the year to 31 December rose 2% to �446.3m, while adjusted pre-tax earnings were up 2% at �145.1m.

The FTSE 250 firm saw solid growth in money and home services, with revenues up 8% at �105.7m and 33% at �48.2m respectively. But that was partially offset by a 1% dip in revenues in insurance, its largest division, to �232.5m, with particularly challenging conditions in car and home.

Mony called it a "resilient financial performance despite significant headwinds in car insurance".

JD Sports Fashion said it was returning �200m to shareholders through share buybacks in its 2026/27 financial year.

The programme will start immediately with an initial �100m purchase expected to complete no later than the close of the company's first half on 31 July, it added.

Herald Investment Trust said it had delivered a strong performance over the year ended 31 December, reporting further growth in assets and continued outperformance against its benchmark, despite ongoing governance challenges linked to a major shareholder.

Herald Investment said net asset value per ordinary share had risen to 2,700.50p as of 31 December, an increase of 8.5% from 2,488.20p a year earlier, outperforming the Russell 2000 Technology Index, which fell 0.3%.