Asia stock markets plunged again in the morning session on May 8, 2019, after Dow Jones declined 473.39 points or 1.79% to the lowest since January 3 as investors feared that the trade talk which will be held on Thursday is too close to the deadline, Friday, given by the U.S. President Donald Trump.
The U.S. Trade Representative Robert Lighthizer told reporters that the tariff increase will go into effect at 12:01 a.m. on Friday while the Treasury Secretary Steven Mnuchin said the U.S. would reconsider the duties if talks get back on track.
Trump just last week was still very satisfied with the pace of trade talk. According to the source, a draft sent by Chinese officials before the talk traced back to what had been discussed, which led to the angry tweet from the U.S. President.
As of 8:50 local time in Bangkok, Nikkei fell 1.55%, SSEC lost 1.62%, HSI plunged 1.11%, ASX 200 slipped 0.67%, and KOSPI dipped 0.63%. SET closed on Tuesday at 1,669.68 points, decreased 9.37 points or 0.56% with a trading value of THB 51.4 billion
Global markets could continue to fall if the U.S. and China maintain their stance, especially if they could not find a common ground in the talk this Thursday.