China has announced an additional 50% reprisal rate on American imports, degenerating the trade war between the two largest world economies.
The Beijing Ministry of Finance said on Wednesday that its new samples would apply in addition to its previously announced prices on American imports. He added that the last price would take effect on Thursday.
The measure would bring to 104% total Chinese rights to American imports introduced during the current Trump administration, corresponding to the level applied to Beijing by the American president since his inauguration.
The Trump administration had previously imposed a “reciprocal” duty of 34% on China, then increased this by 50%.
The last salvo intervened while market turbulence intensified on Wednesday after Donald Trump’s radical prices are in force, state obligations and the actions selling.
US Treasury bills were hardly affected, with the 10 -year yield, a global reference for borrowing costs, going to 4.51% before ensuring 4.38%, up 0.12 percentage points compared to the day and from less than 3.9% on Monday.
The yield of the Japanese government’s bonds at 10 years increased up to 1.37% before withdrawing to 1.27%, little changed during the day. Bond yields come opposite prices.
The stock markets have undergone renewed pressure. The contracts following the S&P 500 fell by 1.2% two hours before the New York Open. The contracts following the NASDAQ composite fell by 1%.
The Stoxx Europe 600 fell by 4%, the FTSE 100 down 3.4%and the Dax of Germany down 3.5%.
Investors and economists have warned that Trump prices have increased the risk of recession in the United States, the largest economy in the world, as well as a new episode of inflation.
Ed Yardeni de Mardeni Associates said that sale in treasury bills, generally a paradise for investors during periods of market stress, reported that “the Trump administration could play with Nitro Liquid”.
