Global shares lower…China says US trade talks coming soon
TOKYO (AP) – Global shares slipped today after sobriety set in on Wall Street, and the U.S. Federal Reserve minutes laid out challenges for the economy amid the coronavirus pandemic. In early trading, France’s CAC 40 fell 1.6%, Germany’s DAX dropped 1.6% and Britain’s FTSE 100 was down 1.3%. In Asia, Japan’s Nikkei finished 1.0% lower. South Korea’s Kospi plunged 3.7%, Hong Kong’s Hang Seng lost 1.5% to 2,274.22, while the Shanghai Composite fell 1.3% at 3,363.90. On Wall Street, Dow and S&P futures are both about 0.6% lower.
BEIJING (AP) – A Chinese Commerce Ministry official says talks with the U.S. on a trade agreement that were postponed last week will be held “soon.” The unnamed ministry official says the two sides decided to hold the talks in coming days. The official gave no further details. The “Phase 1? agreement set in January, which brought a truce in a punishing tariff war between the two biggest economies, called for talks to be held after six months. Those were delayed due to the coronavirus pandemic and the talks that were canceled last weekend were to be held online.
HONG KONG (AP) – The Hong Kong government is condemning the U.S. decision to suspend extradition and tax exemption treaties with the semi-autonomous Chinese city. The government says it is being used as a pawn in China-U.S. relations. The U.S. suspended the agreements on Wednesday. Hong Kong’s government says the agreements were negotiated in good faith and were not preferential treatment. Meanwhile, lawmakers from Hong Kong’s largest pro-democracy party say they plan to hold a debate over serving in the legislature another year or boycotting the extension of their terms. Their terms were extended because the government postponed elections for a year, citing the coronavirus outbreak.
TOKYO (AP) – The case against former Nissan executive Carlos Ghosn (gohn) may have taken another turn as Japanese media report allegations that the automaker declared as expenses $10.8 million in his taxable personal income. Japan’s National Tax Agency says it’s aware of the reports but declined comment on an individual case. Nissan confirms it received a notice on a tax investigation from Japanese authorities. The automaker says it will respond to what it says is a “reassessment notice.” Ghosn, arrested in 2018, jumped bail while awaiting trial on charges of failing to report compensation and breach of trust, and fled to Lebanon.
BEIJING (AP) – Chinese tech giant Huawei (WAH’-way) kept its global business growing for almost a decade while Washington piled sanctions on the company and lobbied its allies to keep the company out of telecom networks. Now, Huawei is starting to suffer in earnest as the Trump administration steps up efforts to slam the door on access to Western components and markets in a widening feud with Beijing over technology and security. European phone companies whose orders helped to make Huawei the biggest maker of switching equipment are scrambling to find other vendors. Huawei’s smartphone sales rose in the latest quarter thanks to sales in China, but demand abroad is plunging.