After the world stock markets took another serious guilt on Monday, American president Donald Trump said that his administration “did not look” a break in price Even if the fears of these tasks could lead to a global economic slowdown.
“We are not looking at this, we have many countries that come to negotiate agreements with us and they will be fair offers, and in some cases, they will pay important prices, it will be fair offers,” Trump told journalists at the Oval Office.
Asked about the comments of his administration suggesting that negotiations were possible, while some officials said that the prices could be permanent, Trump said that the two “can be true”.
“There could be permanent prices and there can also be negotiations because there are things we need beyond the prices,” he said.
Trump continued by saying that some of these things were “open borders” with countries like China for better commercial transactions.
Earlier in the day, European and Asian actions have experienced spectacular losses, the main American index also flirted with a territory of the bear market in pre-commercial trade and oil prices have sagged.
The S&P 500 slipped 0.2% at the end of a day full of heart setbacks when the beaten financial markets are trying to understand what is Trump’s ultimate objective for his trade war. If it is a question of bringing other countries to accept commercial transactions, it could reduce its prices and avoid a possible recession. But if it is a question of redoing the economy and sticking to the rates for the long term, the equity prices may have to fall more.
The industrial average of Dow Jones fell by 349 points, or 0.9%, and the composite Nasdaq increased by 0.1%.
Even some Trump’s allies have alarms on economic damage, and financial forecasts suggest more pain on the horizon for American companies, consumers and investors.
Bill Ackman, a supporter of the billionaire Trump, warned of an “economic nuclear winter” on Sunday, while calling for a 90 -day break on prices.
“The president has the opportunity on Monday to call a time to stop and have time to run on the repair of an unfair tariff system”, ” Ackman said in a post on xformerly known as Twitter.
“Alternatively, we head for a self-induced economic nuclear winter and we have to start silent. May the cooler heads prevail.”
The massive sale in the risky assets at the start of the negotiation week follows the announcement by President Donald Trump of highly higher import and reprisal from China who saw the markets drop suddenly on Thursday and Friday.
Trump threatened that he would impose 50% additional prices on China on Monday afternoon if he did not withdraw from his own reprisals provided for the “reciprocal” functions of last week.
“They have left for years, they have become a rich country because of the people who were in the White House that made it happen,” said Trump. “I have great respect for China, but they can’t do this. We will have a shot on this subject … It is an honor to do it because we have just destroyed. ”
Canada has been spared by the last series of prices, but already faced with samples from a number of exports to the United States, including steel and aluminum. He has promulgated reprisals on a band of American products.
Get national news
For news that has an impact on Canada and worldwide, register for the safeguarding of news alerts that are delivered to you directly when they occur.
The Canadian dollar exchanged for 70.29 cents American for 70.34 cents on Friday.
Tokyo’s Nikkei 225 index has lost almost eight% shortly after the market opened and the long -term trading for the reference was briefly suspended. It closed 7.8% to 31,136.58.
European shares have followed the lower Asian markets, led by the German Dax index, which briefly dropped more than 10% to open on the Frankfurt Stock Exchange, but recovered land to drop by 5.8% in morning trading.
In Paris, the CAC 40 lost 5.8%, while the FTSE 100 of Great Britain lost 4.9% in the European morning.
Us Futures reported a new weakness to come.
The three clues began to drop strongly the day and the DOW plunged up to 1,700 points after losses even worse elsewhere in the world. But he suddenly increased to a gain of almost 900 points at the end of the morning. The S&P 500, on the other hand, went from a loss of 4.7% to a 3.4% step, which would have been its biggest jump in years.
However, after opening lower, the Dow and S&P saw a sudden gain after a false rumor began to circulate on social networks that Trump was considering a 90 -day break on his prices. This rumor was quickly crushed by the White House, calling it “false news”, which prompted the actions to be retreated.
Friday, The worst market crisis from the cocovio-19 pandemic moved in a higher speed while the S&P 500 fell by six percent and the DOW plunged 5.5%.
Composite Nasdaq fell 3.8%.
“There is not yet a sign that the markets find a background and start to stabilize,” wrote Deutsche Bank analysts in a research note.
Trump suggests that disorders are “ drugs ”
Trump told journalists on Sunday on the Air Force One that he didn’t want the markets to fall. But he also said that he was not concerned about a sale, saying: “Sometimes you have to take medication to repair something.”
Trump gave several reasons to his rigid prices, including bringing manufacturing jobs to the United States, which could take years. Trump said on Sunday that it wanted to reduce figures for the quantity that the United States imported other countries with how much it sends them.
However, the indexes continued to drop between losses and gains on Monday, even after Trump threatened to increase his prices, because hope remains in the markets that negotiations could still come.
“Could things get worse? Of course, they could,” said Nate Thooft, a senior portfolio manager at Manulife Investment Management. “We do not call it all the light at all, but when you have this type of volatility on the market, of course, you will have going back and forth” on the markets not only day by day but also on time.
“We are all waiting for the next information,” he said. “Literally, a social tweet of truth or an announcement of a kind on real negotiations could considerably move this market. This is the world in which we are currently living in. ”
All that seems certain is that financial pain hammered investments worldwide on Monday, the third consecutive day of steep losses after Trump announced prices in his “Liberation Day”.
Hong Kong’s shares have plunged 13.2% for their worst day since 1997. A barrel of American crude oil of reference has dropped below $ 60 in the morning for the first time since 2021, injured by concerns than a global economy weakened by commercial barriers will burn less fuel. Bitcoin sank below $ 79,000, down compared to its record greater than $ 100,000 established in January, after holding more stable than other markets last week.
Nike has dropped four percent for one of the largest losses to Wall Street. Not only does he sell a lot of shoes and clothes in China, but he also makes it a large part. The last exercise, factories in China made 18% of his Nike Brand shoes. Vietnam was 50% and Indonesia was 27%.
Trump’s prices are an attack on globalization that is reducing the world economy, which has helped reduce prices of products on the shelves of American stores, but has also made production jobs for other countries.
He also adds pressure on the federal reserve. Investors have become almost conditioned to expect the central bank to move as hero by reducing interest rates during slowdowns.
All that seems certain is that financial pain hammered investments worldwide on Monday, the third consecutive day of steep losses after Trump announced prices in his “Liberation Day”.
Hong Kong shares have plunged 13.2% for their worst day since 1997. A barrel of American crude oil of US $ 60 in the morning for the first time since 2021, injured by concerns than a global economy weakened by trade barriers will burn less fuel. Bitcoin sank below US $ 79,000, down compared to its record greater than US $ 100,000 in January, after having held more stable than other markets last week.
Nike lost 4% for one of the biggest losses of Wall Street. Not only does he sell a lot of shoes and clothes in China, but he also makes it a large part. The last exercise, the factories in China produced 18% of its Nike Brand shoes. Vietnam was 50% and Indonesia was 27%.
Trump’s prices are an attack on globalization that is reducing the world economy, which has helped reduce prices of products on the shelves of American stores, but has also made production jobs for other countries.
He also adds Pressure on the Federal Reserve. Investors have become almost conditioned to expect the central bank to move as hero by reducing interest rates during slowdowns.
Kurtenbach reported in Bangkok. The writers of the Associated Press Ayaka McGill, Paul Harloff and Jiang Junzhe contributed.
With files by journalists from Associated Press Chris Megerian and Josh Boak