In This Article:
* U.S. stock futures down 0.25%, European futures down 0.9%
* Trump imposes 10% tariffs on rest of U.S. imports from China
* Interest rate futures price in Fed rate cut in Sept
* Yen marks biggest gain in 2 years, gold near 6-year high
By Hideyuki Sano
TOKYO, Aug 2 (Reuters) - Global stocks took another beating on Friday while investors piled on to safe-haven assets after U.S. President Donald Trump said he would slap a 10% tariff on the remaining $300 billion of Chinese imports from next month.
MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.51% to its lowest level since mid-June while Japan's Nikkei tumbled 1.91%.
U.S. stock futures lost 0.20% in early Asian trade after the S&P 500 skidded 0.90% to hit one-month lows overnight, while Pan-European Euro Stoxx 50 futures fell 1.5%.
Trump's move breaks a truce in the trade war struck in June and could further disrupt global supply chains.
"After U.S.-China summit meeting, people had expected there would be a lull for quite some time," said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui DS Asset Management.
"And the market was also relieved by signs of recovery in the semi-conductor sector. But now investors and companies will have to revise their such scenarios."
China's state media quickly denounced the move, with the editor in chief of the Global Times saying on Friday that a trade deal between the United States and China was now "further away."
The proposed levies triggered a stampede for safe-haven assets, including U.S. bonds, the yen and gold while the yuan and the Australian dollar hit multi-month lows.
Gold held firm at $1,438.9 per ounce, down 0.4% in Asia after having risen 2.4% on Thursday, staying near a six-year high of $1,453 touched two weeks ago.
The yen edged up to 107.25 on the dollar after rising 1.3% overnight, its biggest daily gain in more than two years.
The euro also recovered to $1.1090, from a two-year low of $1.1027 hit in U.S. trade.
In contrast, the risk sensitive Australian dollar dropped to a seven-month low of $0.6795 while the offshore yuan hit a nine-month low of 6.9731 to the dollar.
The 10-year U.S. bond yield fell almost 12 basis points on Thursday to 1.902 percent, hitting the lowest level since Nov. 8, 2016, when Trump won a surprise victory in the presidential election.
Trump's decision has thrown the Federal Reserve another curve ball that may force it to again cut interest rates to protect the U.S. economy from trade-policy risks after its first rate cut in more than a decade on Wednesday.