The Chinese yuan plunged against the U.S. dollar on Monday morning, after U.S. President Donald Trump threatened increased tariffs on Chinese goods, surprising markets after weeks of talk that a trade deal was imminent.
. He also threatened to impose 25% levies on an additional $325 billion of Chinese goods "shortly."
The tariff rate on those goods was originally set at 10%. Trump had initially threatened to increase tariffs at the start of the year, but postponed that decision after China and the U.S. agreed to sit down for trade talks.may back out of trade talks scheduled for this week. Chinese Vice Premier Liu He had planned to bring a large delegation to Washington on Wednesday to hash out a trade deal — and there'd been talk in recent days that a final deal could result.
William Ma, chief investment officer at Noah Holdings, told CNBC on Monday that the yuan could hit levels of 7 against the dollar. "We think that short term volatility will continue and potentially it could touch 7 ... in the near term. But our view is this type of volatility could change overnight if the talks resume to the normal course."Andy Brenner, head of international fixed income at National Alliance Securities, said the yuan is "getting crushed."
"We expect the markets to come back some overnight, but it could be a messy opening in Europe," he told CNBC.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Tiger Woods will reportedly visit White House on Monday to celebrate Masters win with Donald TrumpDonald Trump, noted golf nut, has reportedly invited Tiger Woods to the White House to celebrate his recent Masters comeback triumph.
Read more »
Trump to present Tiger Woods with Medal of Freedom on MondayWASHINGTON (AP) — President Donald Trump will present the Presidential Medal of Freedom to Tiger Woods next week.
Read more »
Trump, citing slow pace of talks, revives threat to put tariff on all Chinese goodsThe president has already imposed a 25 percent duty on $50 billion worth of Chinese high-tech goods, and a 10 percent duty on another $200 billion worth of Chinese products.
Read more »
Trump renews tariff threat ahead of critical Chinese trade talksPresident Donald Trump announced Sunday that his administration intends to place additional tariffs on goods imported to the US from China
Read more »
Trump announces plan to raise tariffs on Chinese goods, blames slow pace of trade talksPresident Trump announces that he is increasing tariffs on hundreds of billons of dollars in Chinese goods and says trade talks between the two countries are not progressing as fast as he'd like.
Read more »