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.
Afghan watchdog: US taxpayer-funded weapons left behind have formed ‘core of the Taliban security apparatus’
Could This Be the End? Trump Moves to End Birthright Citizenship for Good, SCOTUS Agrees to Hear the Case
Victor Davis Hanson: Consequences Await Tim Walz After Somali Fraud Scandal
How the Feds Unmasked, Caught Jan. 6 Pipe Bomb Suspect
Tim Walz Whines to Reporters That People Are Calling Him the ‘R-Word’ – And It’s Trump’s Fault
911 calls from deadly Texas Hill Country flood reveal heartbreaking pleas
High-brow New Jersey suburb’s high school launches Socialist Club with Karl Marx imagery
Hollywood star endorses Republican for California governor after ‘devastating’ Newsom admin
Walz ‘derelict leadership’ to blame in $1B fraud scandal with ‘haunting reminds of Watergate’: GOP challenger
How one of the biggest local TV mergers ever could blow a hole in Trump’s affordability push
‘Another D-Day’: Biden once urged ‘international strike force’ on narco-terrorists as Dems now blast Trump
Marjorie Taylor Greene plays hooky with House resignation in sight
Hard to Read: Lesbian Couple Facing 1st Degree Murder Charge After Foster Son Found Dying in Horrific State – Their Nickname for Him Was Evil
Jan. 6 bomb suspect’s arrest exposes holes in FBI’s story about cellphone data
Chick-Fil-A Under Fire After Betraying Loyal Customers with Shockingly Woke Statement
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.
Afghan watchdog: US taxpayer-funded weapons left behind have formed ‘core of the Taliban security apparatus’
Could This Be the End? Trump Moves to End Birthright Citizenship for Good, SCOTUS Agrees to Hear the Case
Victor Davis Hanson: Consequences Await Tim Walz After Somali Fraud Scandal
How the Feds Unmasked, Caught Jan. 6 Pipe Bomb Suspect
Tim Walz Whines to Reporters That People Are Calling Him the ‘R-Word’ – And It’s Trump’s Fault
911 calls from deadly Texas Hill Country flood reveal heartbreaking pleas
High-brow New Jersey suburb’s high school launches Socialist Club with Karl Marx imagery
Hollywood star endorses Republican for California governor after ‘devastating’ Newsom admin
Walz ‘derelict leadership’ to blame in $1B fraud scandal with ‘haunting reminds of Watergate’: GOP challenger
How one of the biggest local TV mergers ever could blow a hole in Trump’s affordability push
‘Another D-Day’: Biden once urged ‘international strike force’ on narco-terrorists as Dems now blast Trump
Marjorie Taylor Greene plays hooky with House resignation in sight
Hard to Read: Lesbian Couple Facing 1st Degree Murder Charge After Foster Son Found Dying in Horrific State – Their Nickname for Him Was Evil
Jan. 6 bomb suspect’s arrest exposes holes in FBI’s story about cellphone data
Chick-Fil-A Under Fire After Betraying Loyal Customers with Shockingly Woke Statement
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.
