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Current Stock Market: Stocks Fell in New Tariffs

In the current stock market on Monday, the global stock prices dropped following the latest imposed tariffs of the United States and China on each other’s goods. As a result, it reinforces worries on investors about slowing global growth.

In addition to that, the E-mini futures for U.S. S&P 500 declined as high as 1.06% in early trade. And it last stood down 0.39%. Also, Japan’s Nikkei fell 0.28%.

Then more on the current stock market, the MSCI’s broadest index of Asia-Pacific shares outside Japan sheds 0.3%. And it was due to the 0.5% fall in Hong Kong’s Hang Send following another weekend of violent anti-government protests.

On the other hand, mainland Chinese shares fared well. The CSI300 index was increasing by 0.3% amid the trade war escalation.

On Sunday, China’s states council announced that they would boost adjustments of economic policy. Moreover, a private survey on Monday displayed factory activity surprisingly expanded in August. And this happened even though gains were modest and contrasted with official data which pointed to further contraction.

Tariffs on Trade War

Meanwhile, in the cause of the current stock market, U.S. President Donald Trump on Sunday smashed another 15% tariffs on a variety of Chinese goods. For example, footwear, smartwatches, and flat-panel televisions. On the contrary, China imposed its new duties on U.S. crude, the latest escalation in a damaging trade dispute.

Aside from that, a mixture of studies showed the tariffs would cost U.S. households around $1000 annually. And it was because of the latest round hitting a significant number of U.S. consuming goods.

As a way to retaliate, China began to impose more tariffs on some of the U.S. goods on a $75 billion target list. However, Beijing did not specify the value of products, which faces higher tariffs on Sunday.

Chief economist Shane Oliver stated, “Trump appears defiant though on the tariff hikes, blaming the Fed and American companies for their difficulties in dealing with the tariffs.”



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