Former Trump trade and jobs adviser Curtis Ellis says the U.S. will re-impose tariffs on China if they do not comply with the ‘phase one’ U.S.-China trade deal.
U.S. equity futures are trading lower ahead of Wednesday’s signing of the phase one trade deal between the U.S. and China.
Continue Reading Below
The major futures indexes indicate a decline of 0.2 percent when Wall Street opens.
Conflicting reports raised concerns over the likely outcome of a trade deal to be signed by the U.S. and China.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Wall Street had a mixed session Tuesday as investors parsed the latest indications on trade relations between the two largest economies.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 28939.67 | +32.62 | +0.11% |
| SP500 | S&P 500 | 3283.15 | -4.98 | -0.15% |
| I:COMP | NASDAQ COMPOSITE INDEX | 9251.328923 | -22.60 | -0.24% |
Traders were spooked by a report that U.S. tariffs would remain in place on Chinese goods even after a preliminary deal is signed Wednesday.
CHINA TRADE DEAL: THESE 4 INDUSTRIES WILL BENEFIT MOST, USDA ADVISER SAYS
The Wall Street Journal reported that the Trump administration was preparing to further tighten controls on technology exports to Huawei Technologies.
In Asia, Japan’s Nikkei lost 0.5 percent, the Hang Seng in Hong Kong dropped 0.4 percent and China’s Shanghai Composite gave up 0.5 percent.
In Europe, London’s FTSE added 0.2 percent, Germany’s DAX slipped 0.1 percent and France’s CAC was little changed.
STEVE MNUCHIN REVEALS WHEN TRUMP WILL LIFT CHINA TARIFFS
President Trump and China’s chief negotiator, Liu He, are scheduled to sign a modest trade pact Wednesday that calls for the U.S. to ease some sanctions on China. The U.S. dropped its designation of China as a currency manipulator ahead of the signing.
Beijing, meanwhile, will step up its purchases of U.S. farm products and other goods.
CLICK HERE TO READ MORE ON FOX BUSINESS
While the deal is limited in its scope, investors hope it will prevent further escalation in the conflict that has slowed global growth, hurt American manufacturers and weighed on the Chinese economy.
The Associated Press contributed to this article.
