USA hikes tariffs leaving high uncertainty in place - Danske Bank

Beijing said it would be forced to take

China's Commerce Ministry confirmed the latest United States tariff increase on its website.

Minutes after the USA increased punitive duties on $200 billion in imports from China from 10 to 25 percent, the Chinese commerce ministry said it "deeply regrets" the move and repeated its pledge to take "necessary countermeasures", without elaborating. From the early days of his Administration, Trump has sought to boost Wall Street and take credit for any gains in the Dow.

The United States and China have been locked in a trade war for the past year with a new round of USA tariffs scheduled to go into effect Friday. The spokesman, Gao Feng, said later that Beijing has the "determination and ability to defend its own interests".

Global equities tumbled toward five-week lows as the escalating trade fight fed worries about the world economy and investors sought the safety of bonds and the Japanese yen, which hit a six-week high against the USA dollar.

But on Sunday Mr Trump said on Twitter that the USA would hike tariffs on $US200b worth of Chinese goods this week and could introduce fresh tariffs. Hong Kong's main benchmark skidded 2.4 percent and the Shanghai Composite Index lost 1.5 percent.

Asian stocks were down overnight, with Japan's Nikkei 225 retreating almost 1 percent and Hong Kong's Hang Seng down 2.4 percent. Through late last week, Trump administration officials were suggesting that negotiators were making steady progress.

China appealed to the United States to help salvage the deal earlier on Thursday.

With no action taken by the Trump administration to reverse the increase the duty rate to 25 percent from the previous 10% by 0401 GMT, investors anxious about further escalation in the trade war that has dogged the global economy for more than a year. The 10% will go up to 25% on Friday.

Superstar Kevin Durant injured in Golden State Warriors’ playoff win over Houston
There were initial fears it was an Achilles injury, but it was diagnosed as a less serious right calf sprain. ET. "For me, it is moving on to the next thing and just seeing where that ends up", Irving said.

Then, after briefing President Trump on the negotiations, US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin dined with the leader of the Chinese delegation, Vice Premier Liu He.

Trump told reporters that he happens "to think tariffs for our country are very powerful", in line with a view he has been expressing that such increased punitive taxes would be good for America's economy.

Liu He, China's vice premier and top trade negotiator, led the China team. The U.S. experienced almost 3% GDP growth past year while the Dow Jones Industrial Average, for instance, has expanded more than 30% since Trump took office. Regulators have targeted operations of American companies in China by slowing customs clearance for their goods and stepping up regulatory scrutiny that can hamper operations. They deny their plans violate Beijing's trade commitments but have offered to change details that provoke the most foreign opposition.

"China is not afraid of conflict", said the Global Times, a newspaper published by the ruling Communist Party's People's Daily that is known for its nationalist tone. It said Beijing has measures in place to "minimize losses" for its companies.

"Now as US-China trade tensions seem to be escalating again, it is the bond and the equity market doing the adjustment work while the safe haven bid for the Dollars has remained muted". In addition, if China dumps Treasuries, that could cause prices to plummet, driving yields higher and devaluing whatever USA debt the country is still holding. Industries including electronics that the Communist Party is promoting as China's economic future have suffered declines of up to 40% in sales to the United States.

"He just wrote me a attractive letter, I just received it, and I'll probably speak to him by phone but look we have two great alternatives, our country is doing fantastically well", Trump said.

A man looks at digital accessories in Beijing, May 9, 2019. In the 12 months through April, the PPI increased 2.2 percent, matching March's rise, the department said in another report. Goods exports increased 1.4 percent to $141.7 billion.

Related News:



Most liked

David Beckham banned from driving after using phone at the wheel
The magistrate had the power to impose six penalty points and a £200 fine for the charge of using a mobile while driving. The retired footballer was given the ban and ordered to pay a £750 fine at Bromley Magistrates Court on Thursday.

James Cameron salutes 'Endgame' for sinking 'Titanic' record
As is customary in Hollywood, Titanic's director James Cameron sent Marvel his congratulations. It took the Avengers to sink my Titanic .

US Energy Department To Have The World's Fastest Supercomputer In 2021
Beyond hardware, AMD will provide an enhanced version of ROCm, its open-source programming platform for CPUs and GPUs. AMD (NASDAQ: AMD ), a high-performance computing company announced that it is developing the world's fastest computer.

Billionaire Bezos unveils moon lander mockup, embraces Trump's lunar timetable
An illustration of the Blue Moon lander with four rovers on the top deck of the vehicle. Visit Business Insider's homepage for more stories .

LAPD, ATF Seize Over 1,000 Guns at Holmby Hills Home, Suspect Identified
Aerial images showed a large variety of weapons poured across the home's driveway in Holmby Hills, CBS Los Angeles reported. Beck bought the property in January 2001, but it remains unclear what, if any, connection she had to Wednesday's events.

Federer returns to clay with win; Osaka survives
Third seed and two-time champion Simona Halep of Romania ended the hopes of Johanna Konta 7-5, 6-1 in the second round. Fritz dumped out Grigor Dimitrov in the first round, but Djokovic was a cut above the American qualifier.

'IT Chapter Two' Trailer: See the Grown-Up Losers' Club
But unease starts to build, and soon Beverly is face-to-face with the same evil that tormented her as a young woman. Finally, the trailer ends with the return of Pennywise's clown form in all its horrifying glory.

Vice president of Venezuela’s opposition-controlled legislature detained in Caracas
The arrest came as President Nicolas Maduro was on live state television at the opening of an agricultural project. Party head Carlos Prosperi said security forces towed Zambrano's auto away while the lawmaker still inside.

Trump, Moon discuss N.Korea projectile launches
The U.S. military said the drill involved a short-range ballistic missile, which was the first in almost 1.5 year. "It actually makes it more hard for the USA and South Korea to postpone military exercises", she says.

Prince Harry and Meghan to introduce new baby
The British Royal welcomed this first child , a son named Archie Harrison Mountbatten-Windsor, on May 6, with wife Meghan Markle . About the name, Little said: "It may well be it's a name that Meghan is familiar with and again that's why they are using it".

Ajax didn't deserve loss - Tadic disappointed with Champions League exit
Despite supporting Tottenham's bitter cross-town rivals Arsenal, he doesn't sound like a convincing Liverpool fan. Liverpool have lost just one of the teams' last 14 meetings dating back to the start of 2013, winning nine.

Samsung's 64MP camera module is coming to phones this year
Soon, the 48MP camera on the back of your handset won't be the highest resolution snapper found on a smartphone. The GW1 also comes with a Dual Conversion Gain (DCG) that uses light more effectively in a bright environment.

Touchline reporter gets wiped out during the Valencia vs Arsenal warmup
Valencia are odds on favourites with BetUK but Arsenal at 14/5 could be a very tasty bet if you are feeling fearless . The Blues will face their London rivals - who defeated Valencia earlier on Thursday - in the final in Baku on May 29.

Durant leaves with right calf strain
The Golden State Warriors wasted no time providing an injury update on Kevin Durant Wednesday night. And seeing a Durant-less Dubs should be the thing that motivates the Rockets to take advantage.

Three-foot-tall cousin of T-rex fills some big evolutionary boots
The fossil dates back 92 million years to the Cretaceous Period, a time when some of the largest dinosaurs ever found lived. The teeny-tiny dinosaur is known as " Suskityrannus hazelae " and is a cousin of the more well-known Tyrannosaurus Rex .