Asian stock markets sank in a sea of red on Wednesday after an overnight plunge on Wall Street as investors worried about a potential economic slowdown and the state of the US-China trade war.
After days of silence on Saturday’s agreement between Trump and President Xi Jinping, China’s Commerce Ministry said that trade negotiations will proceed based on a timetable and that the country will implement specific items as soon as possible. For his part, Trump tweeted that there will be a “real deal” with China, or none at all.
Elsewhere in Asia, Japan's Nikkei 225 slipped 0.76% in morning trade while the Topix shed 0.81%. The losses were also seen in South Korea, where the Kospi declined by 0.83%. The Hang Seng index in Hong Kong also fell by 1.4%.
The Dow and S&P 500 index tanked 3.1% each and the Nasdaq fell 3.8% on Tuesday.
Australia’s dollar slid after weaker than anticipated economic growth for the third quarter. Oil prices fell back below $53 a barrel in New York.
Meanwhile, today the US financial markets will remain closed for a national day of mourning to honor former President George H.W. Bush.
Fed Chairman Jerome Powell’s testimony to Congress scheduled for Wednesday has been cancelled.
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