Daily Financial Breakfast 9 November 2026: WTI Nears $87 While China Extends 24% Tariff Suspension

Market News Today: Key Takeaways

• WTI extended losses towards $87 a barrel as US-Iran diplomacy intensified and President Donald Trump said further strikes were highly unlikely if talks progressed.
• China announced a two-month extension of the suspension of an additional 24% tariff on US imports from November 10, while maintaining 10% tariffs.
• China's October consumer inflation slowed to 0.7% year on year from 0.9% in September, below the 0.8% market consensus.
• Bank of Japan meeting minutes indicated policymakers were prepared to accelerate monetary tightening, while the yen strengthened against the dollar.

Market Developments

Foreign Exchange

USD/JPY fell to around 158.25 in early Asian trading and traded around 158.00 during European hours on Monday. GBP/USD rose to near 1.3370, ending a two-day losing streak, while EUR/USD advanced to around 1.1150 after two days of declines.

Energy & Geopolitics

WTI Approaches $87 as US-Iran Diplomatic Efforts Intensify

West Texas Intermediate crude extended its decline towards $87 a barrel on Monday, after trading around $89.60 during Asian hours, as diplomatic efforts to prevent renewed US-Iran hostilities intensified. MUFG's Lee Hardman said Brent had fallen around 16% last week and continued to weaken at the start of this week, linking the decline to renewed optimism over a potential agreement.

President Donald Trump told CNN it was “highly unlikely” he would order further strikes on Iran if negotiations progressed over its nuclear programme and reopening the Strait of Hormuz. He said the decision depended on whether the parties signed “a very strong agreement”.

The US secretary of state offered a more cautious assessment, saying: “I wouldn’t say we’re on the verge of a breakthrough.” No agreement was announced.

Trade Policy

China Extends Suspension of Additional 24% Tariff on US Imports

China's Finance Ministry announced on Monday that it would extend the suspension of an additional 24% tariff on imports from the United States for two months, effective November 10. The ministry said 10% tariffs would remain in place.

The announcement came ahead of an expected meeting between US President Donald Trump and Chinese President Xi Jinping at APEC in China next week.

Inflation & Central Banks

China's October Inflation Slows to 0.7%, Below Expectations

China's Consumer Price Index rose 0.7% in October from a year earlier, the National Bureau of Statistics reported on Monday. Annual inflation eased from 0.9% in September and came in below the market consensus of 0.8%.

Bank of Japan Minutes Signal Readiness for Faster Tightening

Bank of Japan meeting minutes indicated that policymakers were prepared to accelerate monetary tightening. The yen strengthened against the dollar on Monday despite robust US employment data, with the minutes drawing attention to the possibility of a December rate increase rather than announcing a policy change.

Upcoming Key Events

• Trump–Qatar Prime Minister Meeting (9 November 2026, 17:00 GMT): Reuters reported that President Donald Trump would meet Qatar's prime minister at the White House to discuss a new ceasefire and resuming nuclear talks with Iran.
• US October Consumer Price Index (10 November 2026): October consumer inflation is scheduled for release. Deutsche Bank said year-on-year rates cannot be calculated because October 2025 index levels were not produced during the government shutdown.
• US October Producer Price Index (13 November 2026): The October producer-price release follows September's 0.32% month-on-month increase.