President Trump Eyes an Additional $500B Worth of Tariffs on Chinese Goods

23 July, 2018, 12:42 | Author: Shannon Aguilar
  • Financial-Markets-Wall-Street-1608

Hang Seng fell to nine-month lows in early trading, but reversed losses as Chinese stocks staged a sharp rebound.

Ultimately, the trade war with China could end up being a major losing endeavour for the United States, assuming that Trump isn't merely bluffing in order to facilitate further discussions on what he would consider an amicable trade agreement.

The Stoxx Europe 600 extended declines to 0.8 percent, led by cyclical sectors including auto and mining, while the VStoxx jumped.

In April, he tweeted: "Russia and China are playing the Currency Devaluation game as the U.S. keeps raising interest rates".

"If there's a toss-up between raising and not raising (rates), you wonder what role these types of comments might possibly play", said Sameer Samana, a strategist for the Wells Fargo Investment Institute.

That came after Trump CNBC on Thursday aired portions of a Trump interview in which he criticized the Federal Reserve's current course of interest rate hikes. But it's something investors will have to think about.

"I'm not doing this for politics, I'm doing this to do the right thing for our country", Trump said. "This is still in line with the broader PBOC policy of introducing more volatility and letting the market play itself out".

Asian stock markets were already edgy after Wall Street shares declined overnight amid the latest flare up in trade tensions, with the Dow shedding 0.53 percent and the S&P 500 declining 0.39 percent.

Short-term bond yields inched higher.

Wholesale gasoline rose 1.2 percent to $2.07 a gallon. South Africa's rand gained 1 percent to 13.41 per dollar.

The US dollar bought 111.55 Japanese yen, lower than 112.47 Japanese yen of the previous session.

Stocks-Fall-4-28
THE BLADE Buy This Image

Some of the numbers in the video may be in dispute, but the potential of devastating losses to U.S. farmers is a concern voiced by many agricultural groups and their representatives. The company said it's being helped by its rivalry with Amazon, because some retailers are reluctant to team up with Amazon on cloud computing services while they compete with Amazon in sales. The stock climbed 1.8 percent to $106.31. GE, which has been selling and splitting off businesses, also cut its forecast for how much cash its businesses will generate.

In the past two days - since Trump said in an interview with CNBC on Friday that he was ready to take a more aggressive approach by imposing tariffs on US$500 billion worth of Chinese products - neither the Chinese commerce ministry nor the foreign ministry has issued any statements.

Earlier this month, the United States imposed tariffs on $34 billion of Chinese imports. return, China levied taxes on the same value of U S products.

Last week, the Trump administration also identified a further $200bn in Chinese goods it may target for tariffs, for a total of $250bn.

"Chinese authorities have been responding to Mr. Trump's threat of tariffs (by) continuously devaluing the yuan, a policy move that has the impact of making exports into China more expensive", said Boris Schlossberg, managing director at BK Asset Management.

A top Federal Reserve official, meanwhile, warned the trade war could hurt the USA economy.

Unlike the dollar or euro, the yuan does not float freely against other currencies.

Despite Trump's claim, the yuan has been rising steadily if gradually in recent years, as most economists and officials say Beijing actually has been intervening in currency markets to keep the currency from weakening. China promptly levied taxes on the same value of USA products.

USA crude rose 0.81 percent to $70.02 per barrel and Brent was last at $73.15, up 0.79 percent on the day.

The yield on Europe's benchmark bond, the German 10-year Bund, hit a one-month high of 0.39 percent while USA 10-year Treasury yields also hit their highest in a month at 2.90 percent. The Chinese central bank implemented the sharpest one-day lowering of the trading range for the yuan in two years.

Trump set for Putin; summit hopes 'low'
When asked about who he sees as the U.S.'s biggest foe, he said that the USA has "a lot of foes". Russia's constitution also prohibits turning over citizens to foreign governments.

Writer removed from summit event says he only had a question
As he has done before, Trump attacked the investigation led by special counsel Robert Mueller into Russian election interference. Putin denied anew that the Russian government interfered, regardless of what nongovernmental Russian actors might have done.

Mesut Ozil to join Arsenal on Singapore pre-season trip
Emery has been revamping his squad at The Emirates as he prepares for his first season in charge of the north London club. The new chief will face sterner tests against Atletico Madrid and PSG in a pre-season tournament in Singapore next week.

Recommended:

  • Blue Origin to push New Shepard safety regime with ninth test

    Eventually, up to six passengers at a time could get on board the New Shepard spaceship, which flies under autonomous control. In addition to testing the "high altitude escape motor", the company promises it is "pushing the rocket to its limits".
    Orioles Have 'Handshake Agreement' on Machado Trade With Unknown Team

    Orioles Have 'Handshake Agreement' on Machado Trade With Unknown Team

    Machado said Monday at All-Star Game media day that the uncertainty of where he'd play his next game was becoming frustrating. A USA Today report indicated the Orioles and Los Angeles Dodgers had worked out a trade that will be announced Wednesday.
    France will have won few fans, Latest Football News

    France will have won few fans, Latest Football News

    In the first semi-final clash of the 2018 FIFA World Cup , France beat Belgium 1-0 to book their spot in the final. Hazard and De Bruyne showed they are world-class players. "It was so painful two years ago we have to savor it".
  • Liverpool signing Alisson: Anfield atmosphere helped sway decision

    Liverpool signing Alisson: Anfield atmosphere helped sway decision

    Undoubtedly a position in need of an upgrade, Alisson is hailed as a player who will bring exactly what the Reds need by most. In the Premier League, Manchester City are the Parisian's equivalent in terms of virtually unlimited spending power.
    Amazon, TF1 Go Behind the Scenes With French World Cup Team

    Amazon, TF1 Go Behind the Scenes With French World Cup Team

    Mbappe replied to the tweet in English saying "The king will always remain the king", quickly gaining 15,000 retweets. Several Paris Metro stations are temporarily adjusting their names to honor France's World Cup champions.
    Croatian President presents Putin with national team jersey

    Croatian President presents Putin with national team jersey

    Modric, who at 32 may have played in his last World Cup match, added: "We were so close and we played the best soccer". One of the highlights of the 2018 World Cup final in Moscow was undoubtedly Kolinda Grabar-Kitarovic .
  • Google Fined $5 Billion By EU For Illegal Android Practices

    Google Fined $5 Billion By EU For Illegal Android Practices

    It may also mean that a device maker will be free to install any other forked or old version of Android as they wish. Implications of this decision could lead to a variety of scenarios.
    Josh Hart, Svi Mykhailiuk Named To 2018 All-NBA Summer League Teams

    Josh Hart, Svi Mykhailiuk Named To 2018 All-NBA Summer League Teams

    If nothing else, this will be Hart's last game ever in a summer league and he is proving why he deserves to be on the big stage. That team didn't have Kevin Durant but still featured a loaded roster led by Stephen Curry, Klay Thompson and Draymond Green.
    FIFA Confirm Final (Winter!) Dates for 2022 World Cup in Qatar

    FIFA Confirm Final (Winter!) Dates for 2022 World Cup in Qatar

    On Sunday, 78,011 fans will fill Moscow's Luzhniki Stadium as France and Croatia face off in the final of Russian Federation 2018. Amid controversy over the use of VAR during the ongoing World Cup games, Infantino said that VAR is "cleaning football".
  • Chelsea sack manager Antonio Conte after just two seasons in charge

    Chelsea sack manager Antonio Conte after just two seasons in charge

    Conte's sacking was eventually confirmed on Friday morning , and Sky Sports News understands Sarri could be appointed at Stamford Bridge in the next few days.
    Toronto Raptors land Kawhi Leonard from San Antonio Spurs for DeMar DeRozan

    Toronto Raptors land Kawhi Leonard from San Antonio Spurs for DeMar DeRozan

    It is going to be very hard for the Raptors to sell the city of Toronto over Leonard's hometown Los Angeles. After repeatedly falling short in the postseason, the Raptors are hoping Leonard can put them over the top.
    Liverpool make huge bid for Alisson

    Liverpool make huge bid for Alisson

    Which team are you supporting in the 2018 World Cup? Alisson's valuation by Roma is more likely to be met by Chelsea . Klopp defended Karius in the wake of his calamitous display in Kiev, claiming he was suffering from concussion.


Popular

Israeli soldier and four Palestinians killed in Gaza escalation
They are among more than 135, mostly unarmed, Palestinians killed by Israeli fire since border protests began at the end of March. Israeli warplanes pounded the Gaza Strip on Friday after a Palestinian sniper killed an Israeli soldier along the border fence.

Trump, facing fury, says he misspoke with Putin
Those who spoke with The Associated Press largely didn't buy his change in tone - or said it didn't matter. Other GOP senators pushed back on the idea that Russian Federation is no longer targeting the U.S.

Robert Mueller asks judge to give immunity to five witnesses
Former Trump campaign manager Paul Manafort is shown in this booking photo in Alexanderia, Virginia, U.S., July 12, 2018. Mueller's prosecutors said they had five potential witnesses against Mr.

Have to get our act right before the World Cup, says Kohli
Test skipper Root hit the winning boundary to reach three figures and end India's run of nine straight bilateral ODI series wins. For England , it was Joe Root's 13th ton and a great partnership of 186* with captain Eoin Morgan that saw them chase down 256.

Maryland Gov. Hogan criticizes Trump, calls Putin a 'thug'
When asked by reporters a few hours earlier if the USA was still being targeted by Russian Federation , he had answered "no". When asked about special counsel Robert Mueller's ongoing probe, the president once again said there's been no collusion.

Trump corrects his quote, says misspoke on Russian meddling
The photo was taken before Trump and Putin's almost two-hour one-on-one meeting, which was followed by a press conference. Immediately after Monday's news conference, Trump's mood was buoyant, people familiar with the matter said.

Chelsea reportedly consider re-signing Petr Cech
Both shone for their country at the World Cup in Russian Federation , where they claimed third-place in the tournament. Giroud became a key player for the Blues last season but the Mirror claim Sarri is prepared to let him go.

Cher Is Releasing an Album of ABBA Covers!
It's pretty safe to say that this will hardly be the last time we see her in the spotlight, since she seems to live there. Lily James will play young Donna.

Highlights of Putin-Trump summit in Helsinki
Instead, Trump said the pair was committed to Israel's security and maintained that the USA and Russian militaries "do get along". House Speaker Paul Ryan (R-Wis.) contradicted the president, saying there was "no question" about Russia's election interference.

Trump calls European Union a "foe" ahead of Putin meeting
Trump then directed his anger not at Russian Federation but at the Democratic National Committee for being hacked. Donald Tusk, president of the European Council , replied on Twitter using one of Trump's favorite stock phrases.