Equities

Reuters reveals China backtracked on nearly all aspects of U.S. trade deal; market reacts

Reuters reveals China backtracked on nearly all aspects of U.S. trade deal; market reacts

Reuters was first to report that China has backtracked on nearly all aspects of its U.S. trade deal, with systematic edits to a nearly 150-page draft trade agreement that would blow up months of negotiations between the world’s two largest economies. In each of the seven chapters of the draft trade deal, China had deleted its commitments to change laws to resolve core complaints that caused the United States to launch a trade war. Following the Reuters report, U.S. stock market indexes were mostly weaker again, pointing to a third straight day of losses on Wall Street. The S&P 500 has fallen more than 2 percent so far this week. Yields on benchmark U.S. Treasury securities fell to the lowest in more than a month.