Global stock markets collapse as trade war intensifies

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China announced Sunday that it would not "back down" in the trade dispute with the United States, two days after announcing that it could blacklist foreign companies from its huge market .

"The series of actions that took place this weekend means that China's" long march "has begun," said Iris Pang, an economist at ING, in a research note on Monday.

"This means that the trade war has not only become a technology war, but also a large-scale commercial war.China will multiply retaliatory measures, especially in the technology sector," he said. -she adds.

In Europe, benchmark indices in London and Paris fell by 1% at the beginning of the session. The Frankfurt DAX fell 0.6%.
Dow Futures Collapse as Trade War Intensifies

The Chinese government on Sunday issued a document accusing the United States of failed trade negotiations.

Wang Shouwen, deputy minister of trade and deputy trade negotiator, said the United States could not impose a trade deal on China and that the country "will not back down".

Beijing also announced on Sunday that it was investigating FedEx after the Chinese technology company Huawei confused the Chinese delivery company, said the delivery company had diverted two parcels destined for the company's offices in China.
Movement FedEx (FDX) comes after the announcement Friday by China of the constitution of a "list of unreliable entities", effectively preparing the blacklist of foreign companies, while trade tensions with the States United States continues to intensify.
China investigates FedEx after transferring parcels to the United States
South Korea KOSPI (KOSPI) Monday, foreign investors took action in a high-tech enterprise Samsung Electronics (SSNLF) and chip maker SK Hynix.

Samsung and SK Hynix could benefit from increased sales to Chinese companies prevented from dealing with US companies, according to a recent research note by Rex Wu, an analyst at Jefferies.

India is a huge business opportunity for America
President Donald Trump announced Friday that he would pull India out of a special trading program on Wednesday. Meanwhile, investors are still trying to determine the impact of the new tariffs on Mexico on US businesses and the US economy.

"Recent events have shown that markets can not really lift (commercial) uncertainties and that investors must accept that the United States is comfortable conducting a multi-pronged trade war," said Hannah. Anderson, stock market strategist at JP Morgan.

The futures on the Dow Jones index have lost 160 points, or 0.6%, signaling a difficult start for June on Wall Street. The S & P 500 futures contracts fell by 0.6% and the Nasdaq futures by approximately 0.8%.

David Goldman contributed to this story.

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