Markets volatile as US-China trade tensions intensify – business live
Rolling coverage of the latest economic and financial news, as crunch trade talks weigh on markets
- Latest: Talks WILL take place this week
- Introduction: Trade tensions grow
- Overnight: Lighthizer accuses China of breaking commitments
- Heavy market losses in Europe and Asia yesterday
China’s stock market is staging a late mini-rally, on relief that trade talks will resume in Washington on Thursday.
The CSI 300 index has jumped 1% today, clawing back some of its worst losses since February 2016 yesterday (when it lost 6%).
Newsflash: Beijing has announced that vice-president Liu He is planning to visit Washington later this week for trade talks.
China’s commerce ministry says Liu will hold trade negotiations on May 9th and 10th (Thursday and Friday).
NEW: Chinese Vice Premier Liu He will visit the U.S. for trade talks May 9-10, China’s MOFCOM says. The decision to send him comes after USTR Lighthizer and Treasury Sec. Mnuchin yesterday faulted Beijing’s negotiating tactics and said plans to raise tariffs on Friday are firm.
That VP Liu will visit the US for trade talks this week is a faintly moderately positive sign for US-China trade talks—tho his not attending would also have nixed any deal hopes. But risk of hardening of China’s position remains, esp if US tariff threat materialises. #tradewar