On Wall Street the Dow Jones Industrial Average closed 1.77% down, giving a weekly fall of 5.67% All three major U.S. indexes recorded their biggest declines since January 2016. "The internet sector represents 3 million jobs and 6 percent of GDP, and these tariffs will leave our customers worse off, stifle growth, and make it harder for the digital economy to succeed", the group said in a press release, warning that ordinary Americans will be caught in the crossfire. The Dow fell 724 points, or nearly 3%.
Washington should dismiss the idea that China will concede in this trade war because it will find no white flags to mark China's surrender.
"We will continue our effort patiently to persuade the U.S.to remove Japan from the list, " Japanese Minister of Economy, Trade and Industry Hiroshige Seko told reporters. Trump has declared that the United States would no longer tolerate running a trade deficit of almost $400 billion with China, its second-largest trading partner, after the European Union.
Yield on the benchmark 10-year Treasury yield fell 7.5 basis points overnight as bond prices rose on jitters gripping the broader financial markets.
And by securing an exemption from the tariffs, Europe could be perceived as taking sides with the United States against China, said Gabriel Felbermayr, an economist at the Ifo Institute, a research organization in Munich.
On Thursday, Deutsche Bank sold shares in its DWS Asset Management unit on the stock exchange. That's about as much as the company was worth in in 2012, the year of its initial public offering. The dollar was down more than 1 percent on the week.
PM Modi congratulates Angela Merkel on her re-election
President Muhammadu Buhari has also congratulated German Chancellor, Angela Merkel on her reelection for another term. Femi Adesina, in a statement said Buhari has conveyed his congratulatory message to Merkel in a letter.
President Donald Trump on Thursday moved to impose tariffs on up to $60 billion of Chinese goods, deepening fears that the world's two largest economies are heading into a trade war. The world's biggest pork producer, consumer and importer is also planning a 25 percent tax on us imports of the meat.
The Trump administration has announced plans to impose tariffs worth of $50 billion on Chinese imports, along with new restrictions on Chinese investment in the United States.
For Europeans, the reprieve announced by the Trump administration from the protectionist measures could be brief. The gold index rose 3.79%, food and drug retailers 0.48% and general retailers 0.32%. U.S. Trade Representative Robert Lighthizer said Thursday that the tariffs won't apply to the European Union, Canada, Mexico, Argentina, Brazil and Australia.
While Beijing has yet to target USA soybeans, speculation mounted that the oilseed could be next.
U.S. West Texas Intermediate (WTI) crude futures also had their biggest weekly gain since July, at 5.5 per cent. WTI settled at $65.88 a barrel, up $1.58, or 2.5 per cent.
After another bruising week, a key gauge of world equity markets was broadly headed for its first quarterly loss since early 2016 as a spike in volatility, rising inflation and the specter of a trade war spooked investors who had enjoyed a multi-year bull run. "The stakes are too high and there would be no victor".
"The US should not fool itself into thinking that China can be pressured to be folded under such tactics, the newspaper added". "The Chinese government has the ability to deliver against that reasonable expectation".