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World markets for the most part edged down on Wednesday, another day when trade relations were to occupy a central place.
European Commission President
Jean-Claude Juncker
is visiting the White House later on Wednesday with the trade expected to be at the top of the agenda.
U.S. Futures contracts showed a 0.2% dip in the S & P 500 after the index rose Tuesday on additional reports showing strong corporate earnings.
The Stoxx Europe 600 was down 0.2% and the Asian markets were mixed. to influence trade when governments of big economies bicker over politics
General Motors
more than 5% decline in pre-market trade after the auto giant lowered its earnings outlook for 2018 partly due to surprisingly high raw material costs in the wake of US tariffs on the market. steel and aluminum.
In a tweet Tuesday, the president
Donald Trump
He suggested that the EU and the US abandon all tariffs, barriers and subsidies
. EU-US center Mr. Trump proposes to increase customs duties on auto imports as part of the "huge retribution" that would flow from a so-called deal unfair. The European automotive sector was back in the red Wednesday, down 2.2%.
If the tariff discussion ends up being just a trading technique, the impact will be limited, said Olaf van den Heuvel, chief investment officer at Aegon Asset Management. But the imposition of wider tariffs would probably have an effect and "should do more harm to Europe than in the United States, at least in the short term," he said.
European stocks underperformed the United States this year. Europe 600 down 0.5% since the beginning of the year. The S & P 500 has grown 5.5% since January, boosted by strong earnings and positive economic data.
In general, however, investors have struggled to assess the impact of trade tensions in recent months. "It's something that's very hard to gain [an] advantage or advantage," said
Eric Wiegand,
However, the concern is that a full trade war could hit parts of the US economy hard.
The Trump administration announced Tuesday that it would extend $ 12 billion in emergency aid to soybean futures prices reached their lowest point since nearly one year ago. decade this month and fell 0.3% to $ 8.71 a bushel on Wednesday. Maize and wheat prices were also weighed down by tariff concerns over China's crop tariffs.
Many manufacturers seem to be ignoring trade concerns, supported by a rebound in oil prices that has stimulated demand from domestic drillers. Brent crude, the benchmark worldwide, rose 0.7% to 73.93 dollars a barrel on Wednesday.
In Asia, the Shanghai Composite Index is down 0.1% following yesterday's gains on Beijing's new stimulus measures. Meanwhile, the Japanese Nikkei was up 0.5% and the Hong Kong Hang Seng 0.9%
In currencies, the dollar fell slightly, the WSJ Dollar index retreating 0, 2%. The index measures the US currency against a basket of 16 others
The Turkish lira recovered some of its losses on Tuesday, gaining 1% against the dollar after investors l & rsquo; have sent down 3% on concerns that the president
Recep Tayyip Erdoğan
erodes the independence of the country's central bank.
Elsewhere, 10-year Treasuries yields fell to 2.940% from 2.949% on Tuesday. Yields are falling as prices rise.
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