Global Markets Today: Asian markets declined on Monday as the U.S. and China escalated trade restrictions and exchanged new accusations, reigniting tensions between the two largest global economies.
On Sunday, China said that “we are not afraid” of a trade war with the United States, following President Donald Trump’s announcement of additional retaliatory tariffs on Chinese goods.
Goldman Sachs said in a note on Sunday that China’s latest policy moves could indicate an effort to seek larger concessions from the U.S.
In the broader region, Australia’s S&P/ASX 200 slipped 0.68 per cent, while South Korea’s Kospi tumbled 2.35 per cent and the Kosdaq fell 2.24 per cent.
Futures for Hong Kong’s Hang Seng Index suggested a weaker start, trading at 24,968 compared to its previous close of 26,290.32.
Meanwhile, Japanese markets remained shut for the holidays.
US stock market today
Wall Street tumbled on Friday after U.S. President Donald Trump intensified his trade dispute with China following Beijing’s move to tighten restrictions on rare earth exports.
After markets closed, Trump announced plans to impose an additional 100% tariff on Chinese imports and introduce export controls on key U.S.-made software — a move that triggered a sharp sell-off in major technology stocks.
Trump’s latest action against China rattled markets and raised concerns about worsening tensions between the world’s two biggest economies.
“Don’t worry about China, it will all be fine! Highly respected President Xi just had a bad moment. He doesn’t want Depression for his country, and neither do I,” Trump said in a social media post.
All three major U.S. indexes fell steeply during the trading session and continued to slide after hours. The S&P 500 and Nasdaq recorded their biggest one-day percentage losses since April 10. For the week, the S&P 500 posted its worst performance since May, while the Nasdaq saw its sharpest weekly decline since April.
The Dow Jones Industrial Average dropped 878.82 points, or 1.90 per cent, to 45,479.60. The S&P 500 sank 182.60 points, or 2.71 per cent, to 6,552.51, and the Nasdaq Composite fell 820.20 points, or 3.56 per cent, to 22,204.43.
The U.S. government has entered its 10th day of shutdown, with the congressional deadlock showing little progress or meaningful negotiation. As a result, official economic data releases have been halted, leading to a temporary blackout of government statistics.
(This is a developing story)
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
