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.
Watch: JD Vance Explains How Iran Deal Is ‘Fundamentally’ Different Than Obama’s JCPOA
Vance shares how he’s gearing up for lion’s den debut on ‘The View’
Trump’s Iran deal sparks GOP demands for vote as Congress remains in the dark
NC School Pays Dearly After Admin Wildly Bullied Student Who Wrote Sweet Message About Charlie Kirk
FBI thwarts explosive drone attack against UFC Freedom 250 fight
Trump says he had a ‘very good meeting’ with Zelensky at G7
Pentagon files reveal agents’ reports of ‘orbs launching orbs’ near sensitive US security site
FBI disrupts alleged explosive-drone plot targeting White House UFC event, officials say
Multiple Sources Confirm GOP Senator Attempted IVF Expansion During NDAA Talks
Trump Comes Out Against FISA ‘If it Doesn’t Come with the Save America Act,’ Complicating Congressional Showdown
Is AI Making Us Dumb?
Trump admin puts alleged ‘birth tourism’ scheme on notice as expert delivers warning to hospitals
Teen accused of killing stepsister on Carnival cruise ship ordered detained before murder trial
Robert De Niro Says He Can’t Love America While ‘Xenophobic Tyrant’ Trump is President
Breaking: Gavin Newsom and His Wife Are Reportedly Under DOJ Investigation
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.
Watch: JD Vance Explains How Iran Deal Is ‘Fundamentally’ Different Than Obama’s JCPOA
Vance shares how he’s gearing up for lion’s den debut on ‘The View’
Trump’s Iran deal sparks GOP demands for vote as Congress remains in the dark
NC School Pays Dearly After Admin Wildly Bullied Student Who Wrote Sweet Message About Charlie Kirk
FBI thwarts explosive drone attack against UFC Freedom 250 fight
Trump says he had a ‘very good meeting’ with Zelensky at G7
Pentagon files reveal agents’ reports of ‘orbs launching orbs’ near sensitive US security site
FBI disrupts alleged explosive-drone plot targeting White House UFC event, officials say
Multiple Sources Confirm GOP Senator Attempted IVF Expansion During NDAA Talks
Trump Comes Out Against FISA ‘If it Doesn’t Come with the Save America Act,’ Complicating Congressional Showdown
Is AI Making Us Dumb?
Trump admin puts alleged ‘birth tourism’ scheme on notice as expert delivers warning to hospitals
Teen accused of killing stepsister on Carnival cruise ship ordered detained before murder trial
Robert De Niro Says He Can’t Love America While ‘Xenophobic Tyrant’ Trump is President
Breaking: Gavin Newsom and His Wife Are Reportedly Under DOJ Investigation
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.
