The safe-haven Japanese yen rose agains the U.S. dollar after U.S. President Donald Trump said the U.S. would add tariffs on more Chinese goods.
Overnight, Trump announced in a tweet that he is imposing an additional 10% tariff on $300 billion worth of Chinese imports beginning on Sept 1.
The President said the threat resulted from a failure by China to buy more agricultural goods from the U.S. The tariff threat was also a reflection of the Trump Administration's frustration with China's lack of urgency in cutting a trade deal.
The move came one day after officials from Washington and Beijing wrapped up the latest round of trade talks. No visible progress was reported following this week’s negotiations.
The announcement sent global stocks lower, while safe-haven assets like gold and the Japanese yen benefited.
According to investing.com