US Plans More China Tariffs If Trump-Xi Meeting Fails, Sources Say

Stocks slide again on report the U.S. plans more tariffs on Chinese goods

People pass the New York Stock Exchange

But he also said he had billions of dollars worth of new tariffs ready to be imposed if a deal was not possible.

So far the USA has so far placed $250 billion in taxes on imported Chinese goods, about half of all imports from China, and the taxes on most of those goods are set to rise on January 1.

President Donald Trump said Monday that the US will make a "great deal" with China on trade, while threatening billions of dollars of extra tariffs if a deal isn't done. The euro fell to $1.1390 from $1.1412.Tokyo's Nikkei 225 sank 0.2 percent and Seoul's Kospi lost 1.5 percent.

There were major swings on Wall Street yesterday, with the Dow moving in a range of 900 points, in response to a report that US President Donald Trump is planning to impose a tariff on all Chinese goods if he does not receive a satisfactory trade offer from President Xi Jinping. Experts say it was hurt by one-off factors like new emissions standards for cars, so growth is likely to pick up again.

The Nasdaq composite, which is heavily weighted with technology stocks, lost 116.92 points, or 1.6 percent, to 7,050.29.

The Dow is down 276.30 points, or 1.1 percent. The Russell 2000 index of smaller-company stocks dropped 0.4 percent to 1,447.31. Asian shares were mostly higher on Tuesday as traders took the weaker yuan as a sign that Chinese exports can remain competitive even if a trade dispute with Washington heats up.

"More than 70 percent of American firms operating in the South of China, consider the suspension of further investment in the country and move some or all of their production facilities to other countries, because trade war hits profits", reports Reuters.

The ambassador made no specific remarks about the current trade stand-off between the United States and China.

The Stoxx Europe 600 Index surged 1.3 percent to the highest in a week.

US equity futures advanced on Wednesday and European stocks jumped, tracking a rebound across Asia as the worst month for global equities in six years draws to a close. Trade-sensitive industrial shares rose almost 1.2 per cent in mid-morning trading. Stocks climbed earlier this month after Bolsonaro led the previous round of voting, as investors preferred him to leftist parties.Bond prices dipped.

Benchmark 10-year notes last fell 4/32 in price to yield 3.1 percent, from 3.087 percent late on Monday. Brent crude, used to price worldwide oils, lost 19 cents to $77.18 per barrel.

Brent crude futures fell $1.34 to $76.00 a barrel, a 1.7-per-cent drop. Silver fell 1.8 percent to $14.44 an ounce. Copper was little changed at $2.74 a pound.The dollar rose to 112.35 yen from 111.85 yen.

Latest News