On Wednesday, American stock index futures headed south because dismal data out of China affected market sentiment, while traders waited for more developments related to the US-China trade conflict…
Asian markets head south
On Thursday, Asian markets inched down in Asia because American leader told before crucial trade negotiations tomorrow that China dared to have the deal broken.
As a matter of fact, China’s Shanghai Composite along with the Shenzhen Component slumped by respectively 1.1% and 0.7%. Moreover, the Hang Seng Index decreased by 1.6% in Hong Kong.
Despite being not a key directional driver, this morning data revealed that in April China’s consumer price index went up by 2.5% 2018, which is in line with hopes, although a bit higher than March’ 2.3% year-on-year.
In fact, a leap in pork prices year-on-year made a contribution to higher food prices, as the National Bureau of Statistics uncovered.
Besides this, Japan’s Nikkei 225 headed south by nearly 1.2%. In South Korea, the KOSPI index went down by 1.2%.
As for Australia’s ASX 200, it rallied by about 0.3%.
Trade-related news is anticipated to dominate headlines for the rest of the week due to the fact financial markets wait for the result of the much anticipated talks on Friday.
Donald Trump has recently told that China has spoilt the deal in the everlasting US-China trade negotiations.
The talks with China were moving extremely slowly due to the fact the Chinese cabinet made an attempt to re-negotiate. It actually contradicted to the previous week’s achievement when the two trading partners were getting closer to a compromise already on Friday.
American leader added that his country won’t back down until the leading Asian country ceases cheating their employees stealing their jobs.
In return, China told that it’s going to adequately respond if America follows through with its threat to have levies raised on $200 billion of China’s goods.
On Wednesday, Italian stocks led losses in the European Union right after the country's deputy prime minister told that Rome considers breaking EU fiscal rules, thus masking early revenue powered by optimism around the US-China trade conflict…
On Tuesday, another US-China tariff conflict escalation put pressure on Asian stocks, although remarks from American leader that he expects trade talks to be successful backed market sentiment…
In July, Britain's inflation rate rallied for the first time in 2018, thus leaving many UK households feeling quite squeezed by prices, soaring at nearly the same tempo as their wages…
On Friday, the evergreen buck rallied versus its counterparts after data disclosed that the American economy generated more jobs than anticipated In October, thus backing the Fed’s case to proceed with gradual rate lifts…
On Tuesday, gold rallied because uncertainty over the latest developments in Britain’s departure from the EU backed safe haven demand and traders looked ahead for American inflation data to underpin the Fed’s pledge to remain on hold…