Connect with us

Local markets in Asia retreat as US President Trump talks up revised trade war

Tanutam Thawan



PHOTO: Hong Kong stock market - China Daily

Steep losses are the order of the day as local markets follow the lead from a sell off in New York after US President Trump foreshadowed a new round of trade sanctions on China. The US President and his Secretary of State Mike Pompeo have openly accused the Chinese government that the Covid-19 started in a lab in Wuhan, and that those responsible would be held to account.

Yesterday, the Secretary of State ramped up White House administration claims that China mounted efforts to hide the extent of the coronavirus spread, including concealing the severity of the situation, while stockpiling medical supplies.

In the wake of threats of economic retaliation, and their impact on US indices, Asian markets have already suffered steep losses today.

The claims have overshadowed better news indicating a further “levelling of the curve” of infections and deaths from Covid-19 in the US and around the world.

All three main indices on Wall Street tanked between 2.6 – 3.2%, having previously enjoyed their best month in decades in April. Hong Kong led this morning’s selloff, dropping more than 3%, while Seoul, Taipei, Singapore, Manila and Jakarta were all down more than 2%. However, Sydney edged up slightly.

President Trump is threatening to lump new tariffs on China over its handling of the virus outbreak, claiming he had seen evidence linking a Wuhan lab to the contagion. He did not made the contents of the report open to the media or public.

Analysts warned that after a strong rebound in April, fuelled by hopes that the worst of the disease has passed, equities could suffer a tumultuous May as corporate earnings and other indicators reveal the extent of the damage inflicted on the US economy.

Meanwhile the US economy is tanking and millions of Americans have already lost their jobs because of the Covid-19 crisis. Economists also fear another wave of losses on the markets and further pressure on the US dollar following the biggest bailout of the economy in history by the US Federal Reserve.

The threat of another long-winded trade war between the two economic superpowers is sparking further fears whilst the world economy is teetering on a major recession.

Oil prices dropped again after surging last week as top producers began to ease up on production following a deal agreed last month to slash output by 10 million barrels a day.


Get more from The Thaiger

📱 Download our app on Android or iOS
👋 Have your say on our Thailand forums
🔔 Subscribe to our daily email newsletter
📺 Subscribe / Join YouTube for daily shows
👍 Like/Follow us on Facebook
🐦 FOLLOW us on Twitter
📷 FOLLOW us on Instagram


Join the conversation and have your say on Thailand news published on The Thaiger.

Thaiger Talk is our new Thaiger Community where you can join the discussion on everything happening in Thailand right now.

Please note that articles are not posted to the forum instantly and can take up to 20 min before being visible. Click for more information and the Thaiger Talk Guidelines.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

If you have story ideas, a restaurant to review, an event to cover or an issue to discuss, contact The Thaiger editorial staff.

Follow Thaiger by email:

Coronavirus (Covid-19)26 mins ago

PCD says don’t throw away used masks in water bottles after infections linked to bottles

Thailand2 hours ago

Government says it’s okay to criticise them, if it’s fact based

Thailand3 hours ago

Bangkok volunteer group “Sai Mai Will Survive” overwhelmed with calls

Sponsored2 days ago

Experience Phuket’s Islands with 5 Star Marine

Welcome back to Thailand!

Thaiger is getting behind local businesses for the restart of tourism in Thailand - up to 50% discounts across all advertising packages!

Coronavirus (Covid-19)3 hours ago

Phuket reservations slow down for August

Thailand7 hours ago

Covid UPDATE Saturday: 18,912 infections, news briefs

Drugs13 hours ago

Police nab 600kg heroin drug bust, year’s biggest in Northeast

Join the conversation on the Thaiger Talk forums today!
Koh Samui16 hours ago

Koh Samui unaccustomed to Covid-19, many act in dismay

Thailand18 hours ago

Bangkok Airways extends flight suspension to August 11

Thailand19 hours ago

7 Jomtien Beach curfew breakers arrested

Thailand19 hours ago

Buri Ram pig stable converted into gambling den: 22 arrests follow

Thailand20 hours ago

“Fake news” banned, Thai media say order infringes on freedoms

Phuket21 hours ago

Precarious Phuket: open internationally, closed domestically

Best of21 hours ago

Top 5 tattoo parlours Bangkok

World21 hours ago

Duterte approves lockdown measures for Manila

Best of21 hours ago

The Best Pizza in Bangkok with Delivery

Thailand5 months ago

Thailand News Today | Thai Airways in rehab, All go for Songkran | March 4

Tourism5 months ago

Phuket’s nightlife. Yes, bars and clubs are still open | VIDEO

Phuket5 months ago

Thailand News Today | Covid passport talks, Thai Airways heads to court | March 2

Tourism5 months ago

Phuket Thai food treats you need to try | VIDEO

Thailand5 months ago

Thailand News Today | Bars, pubs and restaurants ‘sort of’ back to normal | Feb 23

Tourism5 months ago

In search of Cat & Dog Cafés in Phuket Town | VIDEO

Thailand6 months ago

Thailand News Today | Gambling crackdown, Seafood market to reopen, Vlogger challenge | Jan 21

Thailand6 months ago

Thailand News Today | Covid testing for visas, Business impact, Vaccine approval | January 19

Thailand6 months ago

Thailand News Today | Weekend Bangkok bombs, Thailand fires, Covid update | January 18

Thailand7 months ago

Thailand News Today | Stray car on runway, Indonesian quake, 300 baht tourist fee | January 15

Thailand7 months ago

Thailand News Today | Governor off respirator, sex-trafficking arrest, condo prices falling | January 14

Thailand7 months ago

Thailand News Today | Chinese vaccine, Thailand ‘drug hub’, Covid update | January 13

Thailand7 months ago

Thailand News Today | Bangkok may ease restrictions, Phuket bar curfew, Vaccine roll out | January 12

Thailand7 months ago

Thailand News Today | Covid latest, Cockfights closed down, Bryde’s Whale beached | January 11

Thailand7 months ago

Thailand News Today | Southern floods, Face mask fines, Thai Air Asia woes | January 8