US President Donald Trump has decided to impose tariffs on some $50bn in imports from China, in a move expected to be announced Friday.
The final decision came at a meeting of his top trade advisers in the White House late Thursday, according to people briefed on the meeting’s outcome.
It sets the stage for a major escalation of trade hostilities between the world’s two largest economies.
In the markets overnight, the euro came under severe pressure after the European Central Bank said it would end quantitative easing by the end of the year — after halving its asset purchases from October — but signalled that any rise in interest rates was unlikely before the end of summer 2019.
Eurozone government bond yields retreated across the board, pulling US Treasury yields lower in their wake, while the region’s equity markets rose sharply. The upbeat mood spread across the Atlantic with the Nasdaq Composite index jumping to yet another record intraday high.
Futures tipped the Topix in Tokyo to add 0.6 per cent and the Hang Seng in Hong Kong to rise 0.2 per cent when the Asia trading day started.
Corporate earnings today include Fullsun International Holdings, Hoshino Resorts and Vitasoy International Holdings. The economic calendar for Friday (all times Hong Kong):
- 09.30: China house prices
- India export data is also slated for release today.