A summary

3h ago

10.06 EDT

https://www.theguardian.com/business/live/2025/apr/08/stock-markets-nikkei-dow-ftse-100-asian-market-today-trump-china-tariffs-threat-business-news-live-latest-updates?filterKeyEvents=false&page=with%3Ablock-67f51d2b8f087f8f33467997#block-67f51d2b8f087f8f33467997

 

A summary

With stocks flying on both sides of the Atlantic, after big gains in Asia, here’s a quick recap.

 

Global stock markets are recovering some of their recent heavy losses, on hopes that some of America’s trading partners can strike deals to avoid Donald Trump’s new tariffs.

 

Shares are romping higher on Wall Street, where the S&P 500 index jumped by 3.3% in early trading.

 

US Treasury secretary Scott Bessent told CNBC that other countries appear to be more willing to negotiate than China. He explained:

 

“If they come to the table with solid proposals, I think we can end up with some good deals, and part of the calculus of that may be that some part of the tariffs stay on.”

 

Bessent also claimed the US holds a substantial advantage over China in the trade talks. He told CNBC:

 

“I think it was a big mistake, this Chinese escalation, because they’re playing with a pair of twos.”

 

China has refused, so far, to fold, though - overnight, it vowed to “fight to the end” if the US continues to escalate the trade war.

 

Donald Trump has posted that China wants to make a deal, adding that “we are waiting for their call”.

 

Earlier today, China’s CSI 300 share index rose by 1.7%, while Japan’s Nikkei surged by 6%.

 

The UK’s FTSE 100 has jumped by 3.5%, which would be its best day since February 2022.

 

Across Europe, the Stoxx 600 index is now up 3.4%, on track for its best day since March 2022.

 

The City money markets are expecting the Bank of England (BoE) to cut interest rates next month, with a small chance of a large cut.

 

Rachel Reeves stepped in to soothe stock market jitters, telling parliament she had spoken to Andrew Bailey, the governor of the BoE, who confirmed “markets are functioning effectively and that our banking system is resilient”.

 

Reeves argued again that a trade war “is in nobody’s interest”, confirming that the UK was seeking to negotiate a new deal with the US and that she would meet the US Treasury secretary, Scott Bessent, “shortly”.

 

Goldman Sachs has suggested oil could plunge to just $40 per barrel in an ‘extreme scenario’ in which the trade war leads to a global slowdown and a US recession.