Stocks in Asia mixed on Wednesday morning one day prior to the U.S. and China signing the “Phase One” trade deal due to the report of no roll back tariffs.
As of 8:40 local time in Bangkok, Nikkei dipped 0.19%, SSEC gained 0.01%, ASX 200 edged 0.38% higher, HSI hiked 0.34% and Kospi dropped 0.13%.
On the second day of the meeting between the U.S. and China in Washington, U.S. Treasury Secretary Steven Mnuchin said that the U.S. will maintain tariffs on Chinese goods until the completion of the “Phase Two” deal.
Following the U.S. President Donald Trump statement earlier and the news report, the Phase Two deal could be as far as after the Election in November to be completed.
Meanwhile, Mnuchin said that China committed to purchase $200 billion of additional U.S. products and services for the next two years under the Phase One agreement.
However, the statement had crushed investors’ hope to see some roll back possibly 7.5%-15% on Chinese goods in this deal.
“There are no other oral or written agreements between the United States and China on these matters, and there is no agreement for future reduction in tariffs. Any rumors to the contrary are categorically false,” Mnuchin said.