This post was originally published on this site
Asian markets fell in early trading Wednesday after President Donald Trump said a trade deal with China may not come until after the 2020 presidential election.
“In some ways, I think it’s better to wait until after the election if you want to know the truth. But I’m not going to say that, I just think that,” Trump said Tuesday at a news conference in London, where he was attending a NATO summit.
U.S. stocks sank after the remark, though the three major indexes closed above session lows.
Trade tensions could escalate further, after Congress late Tuesday overwhelmingly approved a bill condemning China’s mass detention of ethnic Muslims, and called for sanctions against some officials responsible. China reacted harshly last week to a bill Trump signed last week supporting Hong Kong’s pro-democracy protesters.
Japan’s Nikkei NIK, -1.18% fell 1.2%, as the country’s parliament on Wednesday approved a trade deal with the U.S. Hong Kong’s Hang Seng Index HSI, -1.10% sank 1.1%, while the Shanghai Composite SHCOMP, -0.34% retreated 0.3%. South Korea’s Kospi 180721, -1.10% dropped 1%, and benchmark indexes in Taiwan Y9999, -0.59% , Singapore STI, -0.66% , Malaysia FBMKLCI, -0.56% and Indonesia JAKIDX, -0.47% all fell. Australia’s S&P/ASX 200 XJO, -1.51% declined 1.4% after data showed the economy sputtered in the third quarter despite fiscal stimulus.
Among individual stocks, Fast Retailing 9983, -4.82% sank in Tokyo trading after the Uniqlo parent said sales fell more than 5% year-over-year in November. Honda 7267, -0.87% and oil producer Inpex 1605, -1.45% also fell. In Hong Kong, tech company Sunny Optical 2382, -3.33% and developers China Overseas Land & Investment 688, -2.54% and New World Development 17, -1.76% declined. Samsung 005930, -1.30% retreated in South Korea, and BHP BHP, -2.81% and Rio Tinto RIO, -2.66% tumbled in Australia.
