Rolling coverage of the latest economic and financial news, as US proposes steep new tariffs on French cheese, wine, handbags and porcelain
- Latest: Trump says China deal could wait until after 2020
- Trump says France shouldn’t tax US companies
- Trump: If anyone takes advantage of US firms, it’s us!
- Introduction: Trade war deepens
- French fizz, cheese, handbags all face 100% tariff
- France: We’ll hit back
Investors are now worrying that America might impose another swathe of tariffs on China in two weeks time.
President Trump has previously threatened to impose 15% levies on $160 billion of Chinese imports on December 15, if a trade deal hadn’t been reached by then.
“If tariffs scheduled for Dec. 15 are implemented it would be a huge shock to the market consensus,” said Sue Trinh, managing director for global macro strategy at Manulife Investment Management in Hong Kong.
“Trump would be the Grinch that stole Christmas,” she said.
Here’s what happens to markets if fresh U.S. tariffs on China kick in on Dec. 15 https://t.co/7nQVwgmRti
The US stock market is now expected to open lower, following Donald Trump’s un-urgent comments about China.
The Dow is tipped to drop by around 0.3%, according to the futures market.
Relatively muted reaction so far given implications of Trump comments on trade deal:#DOW 27699 -0.35%#SPX 3104 -0.35%#NASDAQ 8274 -0.49%#RUSSELL 1605 -0.25%#FANG 2839 -0.50% pic.twitter.com/5Vhm6svK1p
Distinct lack of urgency from Trump vis-a-vis US, China trade deal, suggests tariffs could well kick in on December 15th.
About that phase one trade deal?