Asian Shares Mixed After China-U.S. Talks End Without Trade Deal

Shares in Asia were mixed on Wednesday after the US and China ended their latest round of trade talks without a deal. US futures edged higher while oil prices slipped.

US Trade Representative Jamieson Greer said the American team would head back to Washington and talk to the president about whether to work on extending the August 12 deadline for imposing higher tariffs on each other is amenable. (Photo: Office of the U.S. Trade Representative Facebook)

Beijing’s top trade official said China and the US agreed during two days of talks in Stockholm, Sweden, to work on extending an August 12 deadline for imposing higher tariffs on each other.

The US confirmed that an extension was discussed but not decided upon, Elaine Kurtenbach reported for the Associated Press (AP).

US Trade Representative Jamieson Greer said the American team would head back to Washington and “talk to the president about whether that’s something that he wants to do.”

A Friday deadline looms for many of former President Trump’s proposed tariffs on other countries. Several key economic reports are also expected soon, including the latest monthly update on the job market.

“Markets had been floating on a cloud of trade optimism—first Japan, then the EU—but the sugar high is wearing off. Now, with US-China talks dragging on in Stockholm, there’s a growing sense that the momentum is stalling,” Stephen Innes of SPI Asset Management said in a commentary.

Hong Kong’s Hang Seng Index shed 1.2% to 25,213.15, while the Shanghai Composite Index gained 0.2% to 3,616.30. Tokyo’s Nikkei 225 fell less than 0.1% to 40,654.70. Gains in electronics firms were offset by losses in major exporters like Toyota Motor Corp. and Honda Motor Co.

Australia’s S&P/ASX 200 rose 0.6% to 8,756.40, and South Korea’s Kospi gained 0.7% to 3,254.47. Taiwan’s Taiex rose 1.1%, while India’s Sensex added 0.3%.

On Tuesday, US stock indexes pulled back slightly from record highs. The S&P 500 fell 0.3% to 6,370.86, the Dow Jones Industrial Average dropped 0.5% to 44,632.99, and the Nasdaq Composite was down 0.4% at 21,098.29.