Market is seen opening lower tracking negative leads from Asian market. Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could fall 55 points at the opening bell.
China's Shanghai Composite was down 1.5%. Trump said on Monday that he had asked the US Trade Representative to identify $200 billion worth of Chinese products that will be subject to additional tariffs of 10%. Those tariffs will take effect if China did not "change its practices".
China's Commerce Ministry said on Tuesday morning that it will take counter measures if the US publishes an additional tariffs list. China will protect its interests, taking both quantitative and qualitative measures against the move.
Trump's Monday comments came after the US on Friday announced that it would impose a 25% tariff on up to $50 billion of Chinese products. Tariffs on an initial list of goods worth some $34 billion will kick in on 6 July. In response, China announced tariffs on the same total value of products, with duties on $34 billion of US goods expected to be implemented in July.
In US, the Dow Jones Industrial Average registered its fifth straight decline Monday, but stocks broadly managed to finish above session lows as gains in energy and technology shares helped to limit declines partly inspired by fears over trade tensions between the US and China.
On the US data front, the National Association of Home Builders' monthly confidence index fell two points to 68 in June, in part due to rising lumber costs.
On the Federal Reserve front, Atlanta Fed President Raphael Bostic said Monday at the Rotary Club of Savannah that the central bank still hasn't reached the so-called neutral rate where policy is neither accommodative nor restrictive.
Closer home, foreign portfolio investors (FPIs) sold shares worth a net Rs 754.43 crore yesterday, 18 June 2018, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) bought shares worth a net Rs 824.10 crore yesterday, 18 June 2018, as per provisional data.
Key benchmark indices settled with small losses yesterday, 18 June 2018, on negative global cues. The barometer index, the S&P BSE Sensex, fell 73.88 points or 0.21% to settle at 35,548.26. The Nifty 50 index fell 17.85 points or 0.17% to settle at 10,799.85.Global stocks fell as US-China trade war intensified.
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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)