NEW YORK – The European and American markets have largely withdrawn from another favorable exchange of tariffs by China and the United States on Thursday, as well as the latest American political turbulence.
Washington imposed charges of $ 16 billion in Chinese imports, leading to an instant retaliation in kind from Beijing, which said it "is fiercely opposed to tariffs and has no choice but to continue making the necessary counterattacks. "
The new rates came because American and Chinese officials held a second day of talks during their first meeting since June to relax a row that has been dragging stocks for months.
"Delegates from both sides will continue trade talks, but traders are not overly optimistic," said market analyst David Madden of CMC Market UK.
Thursday's charges are the second round of such measures after the world's two major economies have exchanged rates for $ 34 billion worth of goods in July.
Wall Street recorded modest declines, with the S & P 500 paying 0.2 percent.
In Europe, Paris ended the day essentially flat, while London and Frankfurt lost 0.2 percent.
& # 39; EVERYONE WOULD BE VERY BAD & # 39;
Investors also watched developments in Washington after President Donald Trump's former lawyer issued a series of accusations this week including campaign funding violations, while Trumps ex-campaign leader was convicted of fraud and other charges.
The ambiguous events have encouraged speculation that Trump can be accused, especially when Democrats dominate the November congress elections.
Trump warned Thursday that the US economy would collapse if accused and the legal chaos in the White House has experts who claim that his presidency is threatened.
"I'll tell you what, if I ever get accused, I think the market would crash, I think everyone would be very poor," Trump said about "Fox and Friends."
Analysts said an accusation in Washington was likely to drag stocks, but would not cause the devastation as predicted by Trump.
CFRA chief investment strategist Sam Stovall predicted that stocks could fall five to ten percent or even twenty percent, but "we do not think this will lead to a recession and therefore will not result in a bear market."
On the Thursday in the currency markets, the dollar came back to life after this week's laboriousness, with signals from the Federal Reserve that policymakers are ready to rebound interest rates while the economy continues to improve.
The Greenback was hit by Trump's criticism of the central bank's interest rate hikes this week and accused him of not supporting its economic plan.
Analysts were looking forward to a Friday performance by Federal Reserve Chair Jerome Powell at an annual central banking conference in Jackson Hole, Wyoming.
KEY FIGURES AROUND 2030 GMT (4 a.m. Friday in Manila)
New York – Dow Jones: DOWN 0.3 percent at 25.656,98 (close)
New York – S & P 500: DOWN 0.2 percent at 2,856.98 (close)
New York – Nasdaq: DOWN 0.1 percent at 7.878.46 (close)
London – FTSE 100: DOWN 0.2 at 7.563.22 (close)
Frankfurt – DAX 30: DOWN 0.2 percent at 12.365.58 (close)
Paris – CAC 40: DOWN less than 0.1 percent at 5,419.33 (close)
EURO STOXX 50: DOWN less than 0.1 percent at 3.419.26 (close)
Tokyo – Nikkei 225: UP 0.2 per cent at 22,410.82 (close)
Hong Kong – Hang Seng: DOWN 0.5 percent at 27,790.46 (close)
Shanghai – Composite: UP 0.4 percent at 2.724.62 (close)
Euro / dollar: DOWN at $ 1.1543 from $ 1.1597 at 21.00 GMT
Pound / dollar: DOWN at $ 1.2815 from $ 1.2911
Dollar / yen: UP at 111.23 yen from 110.56 yen
Oil – Brent Crude: DOWN five cents at $ 74.73 a barrel
Oil – West Texas Intermediate: DOWN three cents at $ 67.83
© Agence France-Presse