Huawei sanctions send world stocks into tailspin

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The latest US sanctions on Huawei undermine market sentiment but China stocks gain on hopes of government support

“Chinese stocks are up as markets expect authorities to intervene to support sentiment, but this kind of activity is not sustainable and unless we see a clear resolution in the China-US trade conflict, overall sentiment will remain weak,” said Neil Mellor, a senior forex strategist at BNY Mellon in London.

Late on Wednesday, the US commerce department said it was adding Huawei Technologies and 70 affiliates to its “entity list” — a move that bans the company from acquiring components and technology from US firms without government approval. Yields on 10-year US treasury bonds eased to 2.366% , near a 15-month low of 2.340% touched on March 28.

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