Trade war between US-China aggravates further

After China’s retaliation with $50 billion tariffs on 106 US products, US further aggravated the situation by imposing $100 billion worth of more tariffs on imports from China. This led to more volatility and slump in oil prices. 

The US President threatened to impose new tariffs on China as a tit-for-tat retaliation. The President asked US state representatives to consider $100 billion more tariffs in retaliation. 

China also hit back with retaliatory tariffs, stating that it will fight till the end and at any cost. Markets took a note of the face-off between the world's two largest economies. The oil prices continue to take a hit despite fall in US shale inventories. Brent crude is currently trading down at 0.53 per cent at $67.9 per barrel. 

Gold prices are also witnessing volatility as the war of words on trade continues. The gold prices retreated and are currently trading at $1327 per ounce. Economists and analysts expect trade war to continue, which could impact the global trade.