U. S. stock index futures extended losses in post-market trading late Monday after President Trump announced a new round of tariffs on about $200 billion worth of Chinese imports.
NEW YORK (Reuters) – U. S. stock index futures extended losses in post-market trading late Monday after President Trump announced a new round of tariffs on about $200 billion worth of Chinese imports.
Trump said he will impose 10 percent U. S. tariffs on about $200 billion worth of Chinese imports but he spared smart watches from Apple ( AAPL. O) and Fitbit ( FIT. N).
S&P 500 e-mini futures EScv1 were down 0.3 percent in trading for the overnight session.
Trump also warned that if China takes retaliatory action against U. S. farmers and industries, the administration will pursue tariffs on about $267 billion of additional imports.
Earlier, U. S. stocks closed lower on Monday, led by declines in technology and consumer discretionary stocks ahead of President Donald Trump’s announcement regarding tariffs on $200 billion of Chinese imports.
“Although this was expected and we sold off before the close, one would think the market should be down more,” said Michael O’Rourke, chief market strategist at JonesTrading in Greenwich, Connecticut.
“It’s at the point, the larger these tariffs become, the bigger the problem they become for the administration and the United States. It ups the ante in a significant way, as far as you’re starting to cut some muscle. Consumers will start feeling it.”
Earlier, China vowed that it will not play defense in the escalating trade dispute, adding further fuel to tensions as a new list of items subject to tariffs, including technology and consumer goods, was anticipated from Washington.
“This is the sixth or seventh time we talked about this particular round of tariffs,” said Paul Nolte, portfolio manager at Kingsview Asset Management in Chicago.
