Spanish Stocks Slide 2.7% After Trump Threatens to Cut Off Trade

According to Axios, President Trump said the U.S. does not want to do “any trade business with Spain anymore,” escalating a dispute tied to NATO spending and Spain’s stance on Iran. Spain’s benchmark stock index fell 2.7% on Wednesday, its biggest one-day drop since Trump last threatened a trade embargo on Spain in March, and the premium investors demand to hold Spanish government debt relative to Germany rose to its highest level this month. Axios noted the U.S. Supreme Court has narrowed one of Trump’s most aggressive trade authorities, while a top Spanish official said Spain has a “very positive economic relationship with the U.S.”