In sync with the US enactment

  • China says new tariffs will be on 60 billion worth of US goods
  • Levy tariff rates ranging between 5 to 10%
  • new tariffs will be levied on 5207 US products, unchanged from initial proposal
  • if US insists on raising tariff rates on Chinese goods, China will respond accordingly
  • tariff response is a forced response to US unilateralism, trade protectionism
  • they hope US stops trade frictions
  • China says it hopes US will maintain mutually beneficial trade relationship via dialogue of mutual respect and equality
  • New plan on US goods puts the liquefied natural gas (LNG) on list of products for 10% tariffs. This was lower than the 25% initially proposed
  • China to impose 10% tariffs on US goods the previously listed for a 20% tariff rate
  • China impose a 5% tariff rate on US goods it previously listed for a 10% tariff rate

The US dollar has slipped to fresh seven-week lows as the recent headlines cross trader's screens.

The EURUSD has moved to a new session high. The high just reached 1.17239.

The GBPUSD has moved up to retest its 100 day MA at 1.31655. The price just traded to 1.31641.

The US pre-market stock indices have also moved lower with the:

  • NASDAQ implying a 4 point gain (was up 13 points or so in my earlier report)
  • S&P is up about 2 points (was up 6 points).
  • Dow is up 26 points (was up around 66 points at the start of the session)

Note that China did not provide a full list of US products to be taxed under its revised rates in its statement.