Asia markets and US futures sink as the tariffs story is 'far from over'
Despite President Donald Trump's 90-day pause on most tariffs, markets are not out of the woods.
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I-Hwa Cheng/AFP/Getty Images
- Asian markets are down despite Trump's tariff pause, ending a brief relief rally.
- Investors remain wary due to ongoing US-China trade tensions and high tariff rates.
- US futures are also falling, reflecting persistent market uncertainty and economic concerns.
Asian markets are looking at a dismal end to the week after a relief rally following President Trump's pause on most tariffs.
Here is where major indexes stand:
- Nikkei 255: -4.4% at 10:59 a.m. local time
- Kospi: -1.6% at 11:15 a.m.
- ASX 200: -1.4% at 12.15 a.m.
- Hang Seng Index: -0.50% at 10:16 a.m.
- CSI 300: -0.4% at 10:16 a.m.
US futures are also extending losses after ending in the red on Thursday. Here's where they stand at 10:06 p.m. ET on Thursday:
- S&P 500 futures: -1% at 5250.50
- Dow Jones futures: -0.9% at 39,430
- Nasdaq 100 futures: -1.1% at 18,285.75
Despite Trump's tariffs suspension, markets are not out of the woods as uncertainty remains extremely elevated and keeping investors on edge ahead of the weekend.
"There isn't even a clean 'Trump trade,' the original iteration of which (as many have pointed out) has aged very badly," wrote Vishnu Varathan, Mizuho's macro research head for Asia, excluding Japan.
Some traders may also be taking profit and exiting positions ahead of the weekend to avoid risks.
Investors are particularly concerned about the escalating trade war between the US and China — which did not get a reprieve from Trump. The US's tariff rate against Chinese imports is now 145%.
Louis Navellier, the founder and chief investment officer of investment manager Navellier & Associates, said the selloff wasn't surprising following the historic spike on Trump's tariff pause.
"It was a postponement, not a cancellation," Navellier wrote in a Thursday note. "The tariff story is far from over."
