Daily Financial Breakfast 9 November 2026: Can WTI Reach $87 as China Extends Its 24% Tariff Suspension?

Market News Today: What Is Shaping Sentiment?

• WTI remained under pressure, extending its slide towards $87 a barrel amid intensified US-Iran diplomacy. President Donald Trump said further strikes were highly unlikely if talks made progress.
• The 10% tariffs will remain in place as China extends the suspension of an additional 24% tariff on US imports by two months, starting November 10.
• Softer consumer inflation in China missed market expectations: October's year-on-year reading eased to 0.7%, compared with 0.9% in September and a consensus forecast of 0.8%.
• The yen strengthened against the dollar as minutes from the Bank of Japan showed that policymakers were ready to accelerate monetary tightening.

What Is Driving Market Moves?

How Are Major Currency Pairs Trading?

Monday's currency trading saw USD/JPY retreat to around 158.25 early in the Asian session before changing hands around 158.00 during European hours. Recoveries in GBP/USD and EUR/USD followed two days of losses: the former climbed to near 1.3370, while the latter rose to around 1.1150.

Energy Markets & Geopolitical Drivers

Is US-Iran Diplomacy Pushing WTI Towards $87?

Pressure on West Texas Intermediate crude persisted on Monday, with prices moving towards $87 a barrel from around $89.60 in Asian trading. The decline coincided with stepped-up diplomatic efforts to avert renewed US-Iran hostilities. MUFG's Lee Hardman attributed Brent's fall of around 16% last week and further weakness at the start of this week to revived optimism over a potential agreement.

In comments to CNN, President Donald Trump described further strikes on Iran as “highly unlikely” if talks advanced on its nuclear programme and the reopening of the Strait of Hormuz. His decision, he said, hinged on the parties signing “a very strong agreement”.

With no agreement announced, the US secretary of state struck a more cautious note: “I wouldn’t say we’re on the verge of a breakthrough.”

What Is Changing in Trade Policy?

What Does China's Extended 24% US Tariff Suspension Cover?

A further two months of relief from the additional 24% tariff on imports from the United States will begin on November 10, China's Finance Ministry said on Monday. The extension leaves the 10% tariffs unchanged, the ministry added.

An expected meeting at APEC in China next week between US President Donald Trump and Chinese President Xi Jinping follows the announcement.

Inflation Trends & Monetary Policy Outlook

Why Did China's October Inflation Miss Expectations at 0.7%?

China's annual consumer inflation undershot the 0.8% market consensus in October, easing from September's 0.9%. The Consumer Price Index increased by 0.7% year on year, according to figures released on Monday by the National Bureau of Statistics.

Could Bank of Japan Tightening Gather Pace?

Yen gains against the dollar on Monday came despite robust US employment data, as Bank of Japan minutes put a possible December rate increase in the spotlight. The minutes signalled policymakers' preparedness to accelerate monetary tightening, rather than announcing any change in policy.

Which Events Are Next on the Calendar?

• What Will Trump Discuss With Qatar's Prime Minister? (9 November 2026, 17:00 GMT): Discussions on a new ceasefire and restarting nuclear talks with Iran were planned for President Donald Trump's White House meeting with Qatar's prime minister, according to Reuters.
• What to Watch in the US October Consumer Price Index (10 November 2026): October's consumer inflation figures are due. Year-on-year rates cannot be calculated, Deutsche Bank said, because no October 2025 index levels were produced during the government shutdown.
• What Comes Next for the US October Producer Price Index? (13 November 2026): September's month-on-month increase of 0.32% precedes the forthcoming October producer-price release.