China stocks fall most in over three years on tariff threats, yuan tumbles

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Chinese investors, caught off guard by U.S. President Donald Trump's tariff...

SHANGHAI - Chinese investors, caught off guard by U.S. President Donald Trump’s tariff threats, dumped stocks and sold the yuan currency on Monday as a fresh deterioration in Sino-U.S. trade tensions roiled Asian financial markets.

Hong Kong’s Hang Seng index ended down 2.9 percent, recouping some lost ground in the late afternoon session. Markets had largely priced in expectations that a trade deal would be reached soon, further reducing pressure on China’s economy, which has recently shown tentative signs of steadying. But China’s bond market would benefit from “diversion from equities, and renewed expectation for easing,” said Frances Cheung, head of Asia macro strategy at Westpac in Singapore.China’s Vice Premier Liu He is “very unlikely” to go to the United States this week following Trump’s “threat” to hike tariffs, the editor-in-chief of China’s influential Global Times said on Monday.

“In the near term, investors are rightfully worried since the lingering threat of a trade war weighed on risk assets in 2018, especially in Asia,” Tai Hui, Chief Market Strategist, Asia Pacific, J.P. Morgan Asset Management, said in a note.

 

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Cheating doesnt pay?

Tomorrow, if China decides to stop buying T bills......we are sunk!

Happpier to reach the goal of giving the country only a word with a rotten type is also needed if you want to poke who

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