LONDON - Global stocks gained on Friday after a battering this week as investors held out a sliver of hope for a trade deal amid last-ditch talks between the United States and China, even as a fresh round of U.S. tariffs on Chinese goods took effect.
But the gauge was set for its worst weekly performance since late December 2018, with a loss of 2.75% as bets on an imminent trade deal between the U.S. and China unraveled after tensions unexpectedly flared up during negotiations between the two sides.U.S. President Donald Trump’s tariff increase to 25% from 10% on $200 billion of Chinese goods kicked in on Friday, and Beijing said it would strike back.
“To believe that a deal can be sealed in a couple of weeks and that matters won’t escalate any further before we get there seems like wishful thinking.” The White House has said the two sides would resume negotiations on Friday morning in Washington after concluding the first of two days of talks on Thursday.
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