Asian shares and US stock futures fell on concern President Donald Trump’s tariffs are here to stay after his administration reiterated its resolve to keep the levies amid a legal tussle.
A gauge of Asian shares dipped 0.5%, trimming its biggest monthly gain since November 2023, amid uncertainty about the legal status of Trump’s planned tariff increases.
Sentiment towards equity markets also worsened after the Wall Street Journal reported the administration is considering a stopgap effort to impose levies on swaths of the global economy.
Hong Kong shares dropped after US Treasury Secretary Scott Bessent said trade talks with China were “a bit stalled.”
The dollar edged higher, paring a fifth month of losses, which would match a similar losing streak in 2020. The yen strengthened after a Japanese report showed a measure of inflation in Tokyo rose at the fastest pace in two years.
Tariff headlines, and uncertainty about the legal status of Trump’s new levies, are once again dominating financial markets, prompting investors to re-assess their appetite for riskier assets.
