CHINA SAYS TO RAISE TARIFFS ON 2493 U.S. GOODS TO 25% pic.twitter.com/BJRlcp6Shn
— Alastair Williamson (@StockBoardAsset) May 13, 2019
say goodbye to the 2h growth rebound narrative – we're now experiencing worst-case scenario for equity markets t.co/FwdVgBqFQM
— Alastair Williamson (@StockBoardAsset) May 13, 2019
U.S. stock futures pointed to sharp losses on Monday after China decided to on some U.S. goods as the ongoing trade war between the world’s largest economies intensifies.
As of 8:15 a.m. ET, Dow Jones Industrial Average futures dropped 453 points, indicating a loss of 437 points at the open. S&P 500 futures pointed to a loss of 1.7% while Nasdaq 100 futures indicated a drop of 2.3%.
China will hike tariffs on $60 billion worth of U.S. imports, starting on June 1. This comes after President Donald Trump raised tariffs on Chinese imports last week. China said in a statement that the U.S.’ decision jeopardized the interests of both countries and does not meet the “general expectations of the international community,” according to a Google translation.
Trade bellwethers Caterpillar and Boeing fell more than 3% each while Apple dropped more than 3.6%.
www.cnbc.com/2019/05/13/us-markets-react-to-china-trade-war-news-and-more.html
China Retaliates on Trade: Boosts Tariffs on $60 Billion U.S. Goods to 25%
China said the tariff increase on around 5,000 product groups will take effect on June 1 after declaring earlier today that it would “will never surrender to external pressure” following President Donald Trump’s decision to boost levies on $200 billion worth of China-made goods to 25% as of last Friday. However, it also said some companies could get waivers from the increase, which could fall anywhere between 5% and 25%, the Commerce Ministry said in a statement.
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