Markets steady as traders await China press briefing on US tariffs

While news that Trump is pushing for additional tariffs on another USD 100b of Chinese imports might raise some eyebrows, markets reactions are so far muted. At the time of writing, DAX is trading down -0.47%, CAC down -0.45% and FTSE down -0.19% only. The forex markets are bounded in yesterday’s range in general, except that some weakness is seen in NZD.

Traders are most likely waiting for a formal response from China. The MOFCOM is going to hold a press briefing at 8pm Beijing time, 1200GMT today, while the country is on holiday.

Separately, South Korea has notified WTO of the plan to suspend tariff concessions on USD 480m of US imports, in response to US measures against the country. The Trade Ministry said it’s in equal value to South Korean washing machines and solar panels affected by the US tariffs.