Trade war woes linger on global markets

• August 07 2018
• http://www.jamaicaobserver.com/dailybiz/trade-war-woes-linger-on-global-markets_140649

LONDON, United Kingdom (AFP) — World stock markets traded sideways yesterday as trade war fears continued to hamper investor sentiment, dealers said.

Key Eurozone markets Frankfurt and Paris reversed early small gains to close flat to lower, while the British pound's weakness kept London stocks in slightly positive territory.

On Wall Street, the Dow was little changed approaching midday in New York “as escalated trade tensions between China and the US continue to curb conviction”, analysts at the Charles Schwab brokerage said.

But the S&P, where PepsiCo shares rose after CEO Indra Nooyi said she was stepping down, was slightly up, as was the NASDAQ.

Earlier, an equities rally in Asia petered out on concerns about the brewing China-US trade war, while the yuan struggled to maintain momentum after the Chinese central bank moved to support the unit.

“European bourses are struggling to keep their heads above water ... as trade war fears eroded gains in Asian markets,” said Fiona Cincotta, senior analyst at City Index.

“The escalating trade war between the US and China is continuing to hit Chinese stock markets and the yuan, although the country's central bank stepped in yesterday to support the currency.