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.
Woman dies after plunging into uncovered manhole outside luxury stores
WATCH: CENTCOM chief unloads after Dem asks ‘how many more Americans’ must die in Iran war
Breaking: Trump Makes Endorsement in Heated Texas Senate Primary
JD Vance says Trump is ‘locked and loaded’ to restart military campaign against Iran if nuclear talks fail
California doctor convicted of $45M Medicare fraud scheme that funded luxury vacations and a $12K crossbow
Police search for pink costumed suspect in Virginia
Media Pushes New Pandemic – CBS News Rolls Out Fear Campaign Over Ebola Outbreak with ‘No Vaccine, No Treatment’
Jeanine Pirro Threatens Parents After Wild Teens Create Disturbing Scene in D.C. Restaurant
Pelosi intervenes in Democratic race to succeed her
Michigan Senate hopeful courting progressives entertains Iron Dome for Palestinians
Mosque Targeted in Shooting Had Shocking Ties to 9/11, and Imam Supported October 7 Massacre of Jewish Civilians
Civil liberty advocates sue blue state over ‘show your papers’ gun law
Retired Austin cop tears into leftist city council for stripping police of key tools before shooting rampage
Trump Says He Canceled 11th-Hour Iran Bombing at Request of Saudi Leaders Amid New Peace Talks
Supreme Court Bluntly Swats Down Virginia Dems’ Power Grab
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.
Woman dies after plunging into uncovered manhole outside luxury stores
WATCH: CENTCOM chief unloads after Dem asks ‘how many more Americans’ must die in Iran war
Breaking: Trump Makes Endorsement in Heated Texas Senate Primary
JD Vance says Trump is ‘locked and loaded’ to restart military campaign against Iran if nuclear talks fail
California doctor convicted of $45M Medicare fraud scheme that funded luxury vacations and a $12K crossbow
Police search for pink costumed suspect in Virginia
Media Pushes New Pandemic – CBS News Rolls Out Fear Campaign Over Ebola Outbreak with ‘No Vaccine, No Treatment’
Jeanine Pirro Threatens Parents After Wild Teens Create Disturbing Scene in D.C. Restaurant
Pelosi intervenes in Democratic race to succeed her
Michigan Senate hopeful courting progressives entertains Iron Dome for Palestinians
Mosque Targeted in Shooting Had Shocking Ties to 9/11, and Imam Supported October 7 Massacre of Jewish Civilians
Civil liberty advocates sue blue state over ‘show your papers’ gun law
Retired Austin cop tears into leftist city council for stripping police of key tools before shooting rampage
Trump Says He Canceled 11th-Hour Iran Bombing at Request of Saudi Leaders Amid New Peace Talks
Supreme Court Bluntly Swats Down Virginia Dems’ Power Grab
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.
