U. S. stock index futures signaled a rebound for Wall Street on Wednesday, a day after the main indexes fell more than half a percent on fears of political and trade uncertainties.
NEW YORK: U. S. stocks fell on Wednesday after President Donald Trump sought to impose fresh tariffs on China, intensifying fears of a trade war that could raise costs and hurt overseas sales for U. S. companies.
The Trump administration is pressing China to cut its trade surplus with the United States by US$100 billion, the White House said Wednesday.
Trump is looking to levy tariffs on up to US$60 billion of Chinese imports, targeting the technology, telecom and apparel sectors, sources told Reuters on Tuesday.
As earnings season has ended, the latest developments in Washington are even more prominent for investors, said Brad McMillan, chief investment officer at Commonwealth Financial Network in Waltham, Massachusetts.
«Certainly, from an economic standpoint, the potential effect of tariffs continues to rattle through the markets,» he said.
«We’re in a wallowing period where there’s not as much good news coming out.»
Trump has already imposed tariffs on steel and aluminum imports as well as on solar panels and washing machines, sparking threats of retaliation from some trade partners.
