Stock-market futures edge lower as Trump tweets threat of $11 billion in ‘tariffs on EU products’

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Stock-market futures edge lower as Trump threatens EU tariffs in tweet

U.S. stock benchmarks on Tuesday were seeing muted to slightly lower trade, amid the threat of a fresh escalation of tensions on tariffs with the European Union.

What’s driving the market? A fresh clash in international trade is being digested by investors in early morning action, after the office of the U.S. Trade Representative threatened to levy tariffs on many European goods late Monday. The threat is a retaliation against European companies’ subsidies for aircraft manufacturer Airbus SE EADSY, +1.87% If the U.S. follows through, the proposed tariffs would affect about $11 billion in imports to the U.S.

— Donald J. Trump April 9, 2019 Fresh tensions in international trade comes as Trump’s administration was reportedly close to resolving a yearlong spat with China, which has roiled markets because such a clash between the world’s largest economies could disrupt global economic growth, market participants have said.

Before that report, a reading of small-business optimism was little changed in March, according to a survey released Tuesday. The National Federation of Independent Business reported its small-business optimism index edged up 0.1 points to a seasonally adjusted 101.8, marking the third month in a row in a narrow range.

Avaya Holdings Corp. AVYA, +3.14% stock was in focus, after Bloomberg reported Thursday evening that the communications software company is organizing a sales process for the company, following the receipt of unsolicited bids. Shares have risen 3.9% in off-hours trade.

 

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Oh no, end of the world to have a level playing field

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