Final hours! Save up to 50% OFF InvestingProCLAIM SALE

GLOBAL MARKETS-U.S. stock futures drop after Trump slaps new tariffs on China

Published 2018-09-17, 08:56 p/m
© Reuters.  GLOBAL MARKETS-U.S. stock futures drop after Trump slaps new tariffs on China
EUR/USD
-
USD/JPY
-
JP225
-
AAPL
-
AMZN
-
MS
-
ESU24
-
CL
-
US10YT=X
-

* S&P500 E-mini futures down 0.35 pct

* Trump imposes 10 pct tariffs on $200 bln goods from China

By Hideyuki Sano

TOKYO, Sept 18 (Reuters) - U.S. stock futures dropped and Asian shares are expected to come under renewed pressure on Tuesday after U.S. President Donald Trump said he will impose 10 percent U.S. tariffs on about $200 billion worth of Chinese imports.

While he spared smart watches from Apple AAPL.O and some other consumer products such as bicycle helmets, he warned that if China takes retaliatory action he will pursue additional tariffs on approximately $267 billion of goods. his latest comments as well as recent falls in his support, it is hard to expect Trump to soften his stance on trade in the near future," said Norihiro Fujito, chief investment strategist at Mitsubishi UFJ Morgan Stanley (NYSE:MS) Securities.

S&P500 E-mini futures ESc1 dropped 0.35 percent in early trade.

That came after all three major U.S. indexes dropped on Monday, with the tech-heavy Nasdaq posting its biggest percentage loss since late July.

Apple Inc AAPL.O and Amazon.com AMZN.O , the world's top two companies by market capitalisation, fell 2.6 percent and 3.2 percent respectively on worries about new tariffs, which were unveiled after U.S. market close on Monday.

Nikkei futures in Chicago NIYcm1 traded slightly below the contract's close in Japan on Friday. Japanese markets were closed on Monday for a holiday.

In the currency market, the yen gained while the risk-sensitive Australian dollar dropped.

The yen strengthened slightly to 111.74 per dollar JPY= , off Friday's two-month low of 112.175.

The Australian dollar shed 0.4 percent in early trade to $0.7148 AUD=D4 .

The euro stood little changed at $1.1673 EUR= .

The 10-year U.S. Treasuries yield hit a near four-month high of 3.0220 percent on Monday, extending its rise on the back of a recent run of solid U.S. data, before stepping back to 2.994 percent US10YT=RR .

Oil prices also dropped on worries rising trade tension between the U.S. and China could dent global crude demand.

U.S. West Texas Intermediate (WTI) crude futures CLc1 were down 0.5 percent at $68.57 a barrel.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.