Trump stuns Wall Street, foreign capitals with new trade fights

Speaking in London, where he is attending a North Atlantic Treaty Organisation summit, Trump said he had "no deadline" to end the 16-month trade war between the world's two largest economies, which has caused economic damage for both sides.

All three major stock indexes stepped further away from last week's record highs that were fueled by hopes that an interim deal between the United States and China was in the offing.

"We will not set any time limit on when the deal will or will not be reached", Chinese foreign ministry spokeswoman Hua Chunying said, adding, "This agreement and these negotiations must be based on equality and mutual respect".

Those hoping that the USA can avert further trade tensions with China will be disappointed to learn that President Trump now thinks it's better to wait for the 2020 elections before doing something about the issue.

In an interview with Fox Business on Tuesday, Vice President Mike Pence said that the president is leveraging the strong USA economy in trade negotiations with China and around the world.

Completion of a phase one deal had been initially expected in November, ahead of a new round of USA tariffs scheduled to kick in on Dec 15.

At a press conference in Beijing on Thursday, Ministry of Commerce spokesman Gao Feng again said that if the two sides agreed on an interim trade deal, "tariffs should be reduced accordingly", the paper reported.

"Discussions are going very well and we'll see what happens", Donald Trump said.

CBS News says, according to a U.S. Steel quarterly earnings call, selling prices for U.S. Steel were already expected to rise. "I have to make the right deal".

"That's a trend that is going to continue, especially as long as there's the trade uncertainty", Ross said.

Tariff-sensitive chipmakers were down, with the Philadelphia SE Semiconductor index falling 2.0%, on track for its worst day in almost two months.

"That's not a big deal, we can very well live without the port of Hong Kong", he said.