No tension in the markets due to the trade war: Wall Street fell to 2%

The Dow Jones Industrial Average fell 1.8% to 25,965.09 points.

For its part, the S & P 500 index – the main reference followed by investors – lost 1.65%, at 2,884.05, while the index Nasdaq, with a strong technology component, fell 1.96% to 7,963.76 units.

In the debt market, the yield on US Treasury bonds dropped to 2.442% from 2.469% on Monday.

Hopes that the United States and China could seal a trade deal were affected over the weekend when President Donald Trump has threatened to raise tariffs on Chinese imports from Friday.

Beijing has decided to pursue key trade talks later this week, but the White House has announced that US tariffs on Chinese goods, worth $ 200 billion, will double on Friday.

Investors have generally viewed Trump's threats as a tactic of negotiation. However, Tuesday's setback has raised fears that this latest move represents a more serious obstacle to reaching an agreement.