US-China Trade tensions started again:
Due to US-china tension. Asian shares were set to dip in wild trade on Friday as worries about worsening U.S-China ties offset the fillip from hopes massive government stimulus can jump-start the world economy.E-Mini futures for the S&P 500 edged down 0.12% in early Asian trade, while Nikkei futures pointed to a loss of 10 points. Weaker Australian stock futures also indicated a softer open.
Underscoring the ambivalence in markets, U.S. stocks slid from a near three-month high in a late sell-off overnight, after U.S. President Donald Trump signed an executive order that would weaken laws protecting social media companies, and said he’d hold a news conference about China on Friday.
All eyes are now on Friday’s press conference hosted by Trump where he will address his response to China over its treatment of Hong Kong.
“Risk appetite quickly disappeared after President Trump announced he would address China tomorrow at a press conference. It didn’t take much to help traders rush to exits,” Edward Moya, a senior market analyst at currency trader Oanda, wrote in a note.
If tensions between China and the United States intensify, a build-up of short positions in the S&P 500 index, or bets that the index will fall, could spark a sell-off in shares, Moya added. Due to this US-China Tension, entire world is suffering from implementing of taxes.