BEIJING (AP) — Global stocks sank Wednesday after U.S. President Donald Trump threatened more tariff hikes on Chinese imports if talks aimed at ending a trade war fail to produce an interim agreement.
Market benchmarks in London, Frankfurt, Shanghai and Tokyo declined. Wall Street looked set to slip.
Trump said Tuesday that an agreement on the “Phase 1” deal announced last month “could happen soon.” But he warned he was ready to raise tariffs “very substantially” if that fails.
The two sides disagree publicly about whether the U.S. agreed to roll back some punitive tariffs imposed in the fight over Beijing’s trade surplus and technology ambitions. The Chinese government said last week that was settled, but Trump denied that.
Trump’s comments “served as a reminder of the challenge that the two sides face,” said Jingyi Pan of IG in a report. However, she said, investors saw them as “positioning statements,” reducing their impact.
Iranian State Media Airs Bizarre Video Threatening Barron Trump’s Life, Offers $10 Million Bounty
Caitlin Clark Has Career Game as Transgender Controversy Erupts On-Court
Jeffries’ reported meeting with Kushner about possible Trump cooperation draws left-wing backlash
Iran puts out propaganda video tracking Barron Trump’s location, offering $10 million for his assassination
Mamdani jumps into Democratic Party feud, alleging boss seeking to subvert ‘will of voters’
Iowa focus group’s warning to Republicans: Farm tariff pain could cost you the Senate
Pilot’s bravery on display in steering crippled plane clear of tragedy in dramatic water landing
Trump Admin Invokes FDR and Churchill in Declaring ‘Economic D-Day’
Arizona police shooting suspect arrested, another remains at large after killing 1, wounding fiancee
Incredible Footage: Police Roll Up on Blood-Streaked Man in Middle of Road, Learn His F/A-18 Just Cratered Into Mountainside, But He’s OK
Birth tourism scams draw sweeping crackdown as visa revocations climb
American Automaker Recalls Over 1 Million Cars for Possible Seat Belt Issue
US kills two ‘narco-terrorists’ in strike 2 months since last announced anti-‘narco-trafficking’ attack
Nigeria May Lose Major US Aid Package Over Christian Persecution
Thune-aligned groups unleash historic war chest to defend Senate majority: ‘Winning message’
In midday trading, London’s FTSE 100 declined 0.5% to 7,331 and Frankfurt’s DAX lost 0.7% to 13,186. France’s CAC 40 shed 0.4% to 5,894. On Wall Street, futures for the benchmark Standard & Poor’s 500 index and the Dow Jones Industrial Average were each down 0.4%.
In Asia, the Shanghai Composite Index lost 0.3% to 2,905.24 and Tokyo’s Nikkei 225 sank 0.9% to 23,319.87. Hong Kong’s Hang Seng tumbled 1.8% to 26,571.46.
South Korea’s Kospi retreated 0.9% to 2,122.45 and Australia’s S&P-ASX 200 sank 0.8% at 6,698.40. India’s Sensex lost 0.3% to 40,215.20.
Hong Kong shares, already under pressure from the U.S.-China tariff war and slowing global demand, have been jolted by growing violence in anti-government protests.
The protests began in June over a proposed extradition law and expanded to include demands for greater democracy and other grievances. Hong Kong tumbled into its first recession in a decade in the latest quarter.
Momentum for the global stock market has been mostly upward for more than five weeks as worries about the U.S.-China trade war have eased.
This week, the U.S. Labor Department is due to give updates on consumer and wholesale inflation. Economists expect a government report to show retail sales returned to growth in October.
Iranian State Media Airs Bizarre Video Threatening Barron Trump’s Life, Offers $10 Million Bounty
Caitlin Clark Has Career Game as Transgender Controversy Erupts On-Court
Jeffries’ reported meeting with Kushner about possible Trump cooperation draws left-wing backlash
Iran puts out propaganda video tracking Barron Trump’s location, offering $10 million for his assassination
Mamdani jumps into Democratic Party feud, alleging boss seeking to subvert ‘will of voters’
Iowa focus group’s warning to Republicans: Farm tariff pain could cost you the Senate
Pilot’s bravery on display in steering crippled plane clear of tragedy in dramatic water landing
Trump Admin Invokes FDR and Churchill in Declaring ‘Economic D-Day’
Arizona police shooting suspect arrested, another remains at large after killing 1, wounding fiancee
Incredible Footage: Police Roll Up on Blood-Streaked Man in Middle of Road, Learn His F/A-18 Just Cratered Into Mountainside, But He’s OK
Birth tourism scams draw sweeping crackdown as visa revocations climb
American Automaker Recalls Over 1 Million Cars for Possible Seat Belt Issue
US kills two ‘narco-terrorists’ in strike 2 months since last announced anti-‘narco-trafficking’ attack
Nigeria May Lose Major US Aid Package Over Christian Persecution
Thune-aligned groups unleash historic war chest to defend Senate majority: ‘Winning message’
Federal Reserve Chairman Jerome Powell is due to give testimony to Congress on Wednesday about the U.S. economy. Most investors expect the Fed to keep interest rates on hold for now after cutting them three times since the summer.
ENERGY: Benchmark U.S. crude lost 37 cents to $56.43 per barrel in electronic trading on the New York Mercantile Exchange. The contract fell 6 cents on Tuesday. Brent crude, used to price international oils, shed 60 cents to $61.46 per barrel in London. It retreated 12 cents the previous session.
CURRENCY: The dollar fell to 108.84 Japanese yen from 109.01 yen. The euro dipped to $1.1006 from $1.1010.
Story cited here.
